Use the following information to perform a vertical analysis and check if selling and general expenses are in line with the industry average of 37 percent.
BHAP MILLS CORP.
Income Statement
For the year ended November 30, 2017
Net sales ............................ $310,550
Cost of goods sold ................. 148,800
Gross margin ....................... 161,750
Selling and general expenses ...... 107,150
Income from operations .......... 54,600
Income tax expense ............... 20,725
Net income ......................... $ 33,875