Operating data for Navarro Corporation are presented below.

2017 2016

Net sales $755,000 $599,500

Cost of goods sold 463,500 392,000

Selling expenses 124,000 77,000

Administrative expenses 59,000 56,000

Income tax expense 32,000 23,500

Net income 76,500 51,000

Prepare a schedule showing a vertical analysis for 2017 and 2016. (Round percentages to 1 decimal place, e.g. 12.3%.)

2017 2016

Amount Percent Amount Percent

Net sales $755,000 % $599,500 %

Cost of goods sold 463,500 % 392,000 %

Gross profit 291,500 % 207,500 %

Selling expenses 124,000 % 77,000 %

Administrative expenses 59,000 % 56,000 %

Total operating expenses 183,000 % 133,000 %

Income before income taxes 108,500 % 74,500 %

Income tax expense 32,000 % 23,500 %

Net income $76,500 % $51,000 %