Exercise 14-1 Common-Size Income Statement [LO14-1) A comparative Income statement is given below for McKenzie Sales, Ltd, of Toronto Sals, d Comparative Income Statement This Year 37,390,000 4220.000 2.670.000 Last year 55,616,400 2,511,540 2,100,900 Sales Cost of goods sold Gross sorgin selling and administrative sest Selling expenses Administrative expenses Total expenses Met operating Incot Interest expense et Encome before tas 1,196,000 707,500 2.103,500 566,500 105 000 5461,500 1,077,600 610.000 1.607.000 417.900 91.000 $326.900 Members of the company's board of directors are surprised to see that net income increased by only $134,600 when sales increased by $1773.600 Required: 1 Express cach year's income statement in common-size percentages (Round your percentage answers to 1 decimal place the This Year Last Year % % % % % % % % Sales Cost of goods sold Gross margin Selling and administrative expenses Selling expenses Administrative expenses Total selling and administrative expenses Net operating income Interest expense Net Income before taxes % % % % % % % % % % %