Vernon Company reported the following operating results for two consecutive years: Required Compute each income statement...

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Vernon Company reported the following operating results for two consecutive years: Required Compute each income statement component for each of the two years as a percentage of sales. (Percentages may not add exact due to rounding. Round your percentage answers to 1 decimal place. (i.e., 0.234 should be entered as 23.4).) Sales Cost of goods sold Gross margin on sales Operating expenses Income before taxes Income taxes Net income VERNON COMPANY Vertical Analysis of Income Statements Year 4 Percentage of Sales Year 3 Percentage of Sales S 997,000 % $ 1,084,000 % 548,350 598,400 448,650 485,600 130,700 150,000 317,950 335,600 80,100 81,200 $ 237,850 % $ 254,400 % Vernon Company reported the following operating results for two consecutive years: Required Compute each income statement component for each of the two years as a percentage of sales. (Percentages may not add exact due to rounding. Round your percentage answers to 1 decimal place. (i.e., 0.234 should be entered as 23.4).) Sales Cost of goods sold Gross margin on sales Operating expenses Income before taxes Income taxes Net income VERNON COMPANY Vertical Analysis of Income Statements Year 4 Percentage of Sales Year 3 Percentage of Sales S 997,000 % $ 1,084,000 % 548,350 598,400 448,650 485,600 130,700 150,000 317,950 335,600 80,100 81,200 $ 237,850 % $ 254,400 %

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To compute each income statement component as a percentage of sales for Year 4 and Year 3 we need to ... View the full answer