1. If a company's income statement showed sales equal to $365,000, a gross margin of $120,000, and net income of $45,000, then a vertical analysis of the income statement would show a percentage figure for net income equal to: 2. A) 100.0% 3. B) 37.5% 4. C) 32.3% 5. D) 12.3% 6. Answer: D Difficulty: Medium