Check my work 1 Problem: Module 4 Textbook Problem 1 Learning Objective: 4-1 Differentiate between horizontal and vertical analysis Income statements for Walton Company for Year 3 and Year 4 follow: 1 points Hint WALTON COMPANY Income Statements Year 4 Sales $200,600 Cost of goods sold 142, 100 Selling expenses 20,700 Administrative expenses 12,500 Interest expense 3,100 Total expenses $178,40 Income before taxes 22,200 Income taxes expense 6,200 Net income $ 16,000 Year 3 $180,600 120,102 18,700 14,500 5,100 $158,488 22,200 3,900 $ 18,300 Print Required a. Perform a horizontal analysis, showing the percentage change in each income statement component between Year 3 and Year 4 b. Perform a vertical analysis, showing each income statement component as a percentage of sales for each year. Complete this question by entering your answers in the tabs below. Required A Required B Perform a horizontal analysis, showing the percentage change in each income statement component between Year 3 and Year 4. (Negative answers should be indicated by a minus sign. Round your percentage answers to 1 decimal place. (.e., 0.234 should be entered as 23.4).) WALTON COMPANY Horizontal Analysis of Income Statements Percentage Change over Year 3 Sales 11.1 % Cost of goods sold Selling expenses Administrative expenses Interest expense Total expenses Income before taxes 0.0 Income taxes expense Net income (loss)