a. Prepare an income statement in comparative form, stating each item for both years as a percent of sales. If required, round percentages to one decimal place. Enter all amounts as positive numbers. Sales Cost of goods sold Gross profit Selling expenses Administrative expenses Total operating expenses Income from operations Income tax expense ✓ Net income ✓ ✓ Innovation Quarter Inc. Comparative Income Statement For the Years Ended December 31 Current year Amount Current year Percent $447,000 % 272,670 % 71,520 71,520 13,410 % % % % % % % Previous year Amount Previous year Percent $384,000 % 215,040 % 69,120 57,600 15,360 % % % % % % %

a. Prepare an income statement in comparative form, stating each item for both years as a percent of sales. If required, round percentages to one decimal place. Enter all amounts as positive numbers. Sales Cost of goods sold Gross profit Selling expenses Administrative expenses Total operating expenses Income from operations Income tax expense ✓ Net income ✓ ✓ Innovation Quarter Inc. Comparative Income Statement For the Years Ended December 31 Current year Amount Current year Percent $447,000 % 272,670 % 71,520 71,520 13,410 % % % % % % % Previous year Amount Previous year Percent $384,000 % 215,040 % 69,120 57,600 15,360 % % % % % % %

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Perform a vertical analysis...