PRINCE COMPANY Income Statement Increase (Decrease) from Year 1 to Year 2 Amount Percent Sales revenue 23,100 13.8 % Cost of goods sold % Gross profit % Operating expenses and interest expense % Pretax income % Income tax % Net income %Year 2 Year 1 Income statement: Sales revenue $190, 500 $167, 200 Cost of goods sold 112, 400 100 , 200 Gross profit 78, 100 67,000 Operating expenses and interest expense 57,300 54,300 Pretax income 20, 800 12, 700 Income tax 6,240 3, 810 Net income $ 14,560 $ 8,890 Balance sheet: Cash $ 6,090 $ 5,100 Accounts receivable (net) 15, 400 17,800 Inventory 41, 090 33, 000 Property and equipment (net) 45, 800 36, 600 Total assets $108, 200 $ 92 , 500 Current liabilities (no interest) $ 15, 100 $ 16 , 100 Long-term liabilities (9 interest) 43, 300 43, 300 Common stock ($5 par value, 5,900 shares outstanding) 29,500 29,500 Retained earnings 20,300 3,600 Total liabilities and stockholders' equity $108, 200 $ 92, 500PRINCE COMPANY Balance Sheet Increase (Decrease) from Year 1 to Year 2 Amount Percent Cash % Accounts receivable (net) % Inventory % Property and equipment (net) % Total Assets % Current liabilities (no interest) % Long-term liabilities (9% interest) Common stock ($5 par value, 5,900 shares outstanding) Retained earnings % Total liabilities and stockholders' equity %