UIL total liabilities an unal place.) EX 14-5 Horizontal analysis of the income statement Income statement data for Winthrop Company for two recent years ended December 31 ar Obj. as follows: Current Year Sales Previous Year $2,280,000 $2,000,000 Cost of goods sold 1,960,000 1,750,000 Gross profit $ 320,000 $ 250,000 Selling expenses $ 156,500 $ 125,000 Administrative expenses 122,000 100,000 Total operating expenses $ 278,500 $ 225,000 Income before income tax $ 41,500 $ 25,000 Income tax expense 16,600 10,000 $ Net income 24.900 $ 15,000 enses A. Prepare a comparative income statement with horizontal analysis, indicating the increase (decrease) for the current year when compared with the previous year. (Round percentages to one decimal place.) - What conclusions can be drawn from the horizontal analysis