E14-13A Horizontal analysis (Learning Objective 1) Prepare a horizontal analysis of the following comparative income statement of The Ruby Group. The Ruby Group Income Statement For the Years Ended December 31, 2017 and 2016 amounts in thousands) 2016 5 458.800 6 Sales revenues 7 Less: Cost of goods sold 8 Gross profit 9 Less: Operating expenses 10 Operating income 11 Less: Interest expense 12 Income before income taxes 13 Less: Income tax expense 14 Net income 15 400,000 195,000 $ 248,980 $ 205,000 90,000 TSTIOTS 115,000 3,125 111,875 11,875 1764 100,000 209,820 95,670 4,250 149,0605II 16,420 Why did net income increase by a higher percentage than net sales revenue during 2017