Question: Using the data in these abbreviated income statements, prepare a vertical analysis. Sales Cost of goods sold Gross margin Operating expenses Net income Year 2

Using the data in these abbreviated income statements, prepare a vertical analysis.

Sales Cost of goods sold Gross margin Operating expenses Net income Year 2 $360,000 220,000 $140,000 110,000 $30,000 Year 1 $518,000 316,000 $202,000 152,600 $ 49,400

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