Exercise 14-1 Common-Size Income Statement [LO14-1 A comparative income statement is given below for Mckenzie Sales, Ltd., of Toronto: McKenzie Sales, Ltd. Comparative Income Statement This Year Last Year 7,310,000 $5,555,600 Sales Cost of goods sold Gross margin Selling and adninistrative expenses: 4,620,0003,508,500 2,690,000 2,047, 100 Selling expenses 1,375,000 1,076,500 611,500 1,688,000 359,100 00090,000 509,500269,100 709,5006ll Administrative expenses Total expenses iet operating income Interest expense Net ineome before taxes 2.084,500 605,500 s Members of the company's board of directors are surprised to see that net income increased by only $240,400 when sales increased by $1754,400. Required 1. Express each year's income 0.1234 should be entered as 12.3)1 statement in common-size percentages. (Round your percentage answers to 1 decimal place (i.e 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