Financial statements for Steele Inc. follow.
Steele Inc.
Consolidated Income Statements
(In thousands except per share amounts)

Steele Inc.
Consolidated Balance Sheets
(In thousands)

Required:
1. Prepare common size income statements and balance sheets for Steele to be used in vertical analysis (in percentage terms, rounded to two decimal places). You do not need to include the actual dollar amounts shown above.
2. Indicate whether gross margin grew as much as sales between 2017 and 2018 and between 2018 and 2019, and, if so, why it grew.
3. Indicate whether the relative proportion of Steele's assets changed between 2018 and 2019, and, if so, explain the change.
4. Indicate whether the relative proportion of Steele's liabilities and equity changed between 2018 and 2019, and, if so, explain the change.
5. Explain how Steele appears to have financed the 7.5% increase in assets that occurred between 2018 and 2019.