Wallace Company reported the following operating results for two consecutive years.

Required
Express each income statement component for each of the two years as a percentage ofsales.

Percentage of Sales Amount 2011 Sales $100,000 Cost of goods sold Gross margin Operating expenses 64,000 36,000 19,000 Income before taxes 57,000 5,400 $ 11,600 Income taxes Net income Amount Percentage of Sales 2012 Sales $128,000 81,600 46,400 23,000 Cost of goods sold Gross margin Operating expenses Income before taxes 23,400 6,200 Income taxes $ 17,200 Net income