3 2 points Mc 02:25:30 eBook 101 Hint Print References Sales Cost of goods sold Selling expenses Administrative expenses Interest expense Total expenses Income before taxes Income taxes expense Net income Year 4 $ 240,000 180,000 26,000 12,000 7,500 225,500 14,500 1,200 $ 13,300 Required A Required B Required a. Perform a horizontal analysis, showing the percentage change in each income statement component between Year 3 and Year 4. b. Perform a vertical analysis, showing each income statement component as a percentage of sales for each year. Complete this question by entering your answers in the tabs below. BURCH COMPANY Vertical Analysis of Income Statements Percentage of Sales Year 4 Sales Cost of goods sold Selling expenses Administrative expenses Interest expense Total expenses Income before taxes Income taxes expense Net income Year 3 $ 200,000 124,000 20,000 18,000 8,000 Perform a vertical analysis, showing each income statement component as a percentage of sales for each year. Note: Percentages may no