Sales Cost of goods sold Gross margin Selling and administrative expenses: Selling expenses Administrative expenses Total...

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Sales Cost of goods sold Gross margin Selling and administrative expenses: Selling expenses Administrative expenses Total expenses Net operating income Interest expense Net income before taxes This Year $ 7,330,000 4,720,000 2,610,000 Last Year $ 5,570,800 3,507,500 2,063,300 1,388,000 1,080,500 705,500 617,000 1,697,500 365,800 94,000 2,093,500 516,500 101,000 $ 415,500 $ 271,800 Members of the company's board of directors are surprised to see that net income increased by only $143,700 when sales increased by $1,759,200. Required: 1. Express each year's income statement in common-size percentages. (Round your percentage answers to 1 decimal place (i.e., 0.1234 should be entered as 12.3).) This Year Last Year Sales Cost of goods sold % % % % Gross margin 0.0 % 0.0 % Selling and administrative expenses: Selling expenses % % Administrative expenses % 90 % Total selling and administrative expenses 0.0 % 0.0 % Net operating income 0.0 % 0.0 % Interest expense % % Net income before taxes 0.0 % 0.0 % Sales Cost of goods sold Gross margin Selling and administrative expenses: Selling expenses Administrative expenses Total expenses Net operating income Interest expense Net income before taxes This Year $ 7,330,000 4,720,000 2,610,000 Last Year $ 5,570,800 3,507,500 2,063,300 1,388,000 1,080,500 705,500 617,000 1,697,500 365,800 94,000 2,093,500 516,500 101,000 $ 415,500 $ 271,800 Members of the company's board of directors are surprised to see that net income increased by only $143,700 when sales increased by $1,759,200. Required: 1. Express each year's income statement in common-size percentages. (Round your percentage answers to 1 decimal place (i.e., 0.1234 should be entered as 12.3).) This Year Last Year Sales Cost of goods sold % % % % Gross margin 0.0 % 0.0 % Selling and administrative expenses: Selling expenses % % Administrative expenses % 90 % Total selling and administrative expenses 0.0 % 0.0 % Net operating income 0.0 % 0.0 % Interest expense % % Net income before taxes 0.0 % 0.0 %