Please DO NOT hand write. 14-27

Prepare a comparative common-size income statement for Wolf Corporation. To an inves- tor, how does 2017 compare with 2016? Explain your reasoning. A B C Wolf Corporation Income Statement For the Years Ended December 31, 2017 and 2016 (amounts in thousands) 2017 2016 6 Sales revenues S 458,800 $ 400,000 7 Less: Cost of goods sold 209,820 195,000 8 Gross profit S 248,980 $ 205,000 9 Less: Operating expenses 95,670 90,000 10 Operating income 153,310 $ 115,000 11 Less: Interest expense 4,250 3,125 12 Income before income taxes S 149,060 $ 111,875 13 Less: Income tax expense 16,420 11,875 14 Net income S 132,640 $ 100,000 15