Required:1. Express each year's income statement in common-size percentages. (Round your percentage answers to 1 decimal place0.1234 should be entered as 12.3).)S Yeal%SalesCost of goods soldGross marginSelling and administrative expenses0.0%0.0 %Selling expensesAdministrative expensesTotal selling and administrative expensesNet operating incomeInterest expenseNet income before taxes0.0 %0.0 %0.0 %0.0 %00%0.0 % Exercise 14-1 (Algo) Common-Size Income Statement (LO14-1]A comparative income statement is given below for McKenzie Sales, Limited, of Toronto:Hckenzle Sales, LinitedConparative Income StatenentThis Year$7, 380,0004,780,0002,600,000Last Vear$ 5,608,800D514,0002,094,800SalesCost of goods soldGross marginSelling and adninistrative expensesSelling expensesAdministrative expensesTotal expenses1,397,000705,5002,102,500497,500102,000$ 395,5001,081,500611,po01,694,S00Net operating inconeInterest expense400,30085, 000$ 315, 500Net incone before taxesMembers of the company's board of directors are surprised to see that net income increased by only $80,200 when sales increasedby $1,771,200Required:1. Express each year's income statement in common-size percentages. (Round your percentage answers to 1 decimal place (le.,0.1234 should be entered as 12.3).)

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Answered: Required: 1. Express each year's income…

Business

Accounting

Required: 1. Express each year's income statement in common-size percentages. (R

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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