Exercise 14-1 Common-Size Income Statement [LO14-1] A comparative income statement is given below for McKenzie Sales, Ltd. of Toronto: Last Year 35,570,300 2.514.000 2.056, 400 McKenzie Sales, Titd. Comparative Income Statement This Year Sales 07.330,000 Cost of goods sold 4.250,000 Gross margin 2,580.000 Selling and administrative expen Selling expenses 1,370,000 Administrative expenses 710.000 Total expenses 2.000.000 Net operating income 500,000 Interest expense 106,000 Het income before times S94.000 1,000,000 615,500 1.696,500 360,100 99,000 $ 271,300 Members of the company's board of directors are surprised to see that net income increased by only $122,700 when sales increased by $1759,200 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).) Last Year This Year % % % 0.0% 0.01% 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 % % 0.0% 0.0% 0.0 % 00% % 0.01% 0.01%