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A condensed income statement for Southwest Airlines and a partially completed vertical analysis below. Required: 1. Complete the vertical analysis by computing each missing line
A condensed income statement for Southwest Airlines and a partially completed vertical analysis below. Required: 1. Complete the vertical analysis by computing each missing line item as a percentage of sales revenues. 2. Does the percentage that you calculated in Fuel, Oil, Repairs, and Maintenance suggest that fuel costs, as a percentage of sales, decreased, increased, or stayed the same in 2018 compared to 2017? 3. Is Southwest's net profit margin improving, declining, or staying the same from 2017 to 2018? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Complete the vertical analysis by computing each missing line item as a percentage of sales revenues. (Round your answers to the nearest whole percent.) SOUTHWEST AIRLINES Income Statement (summarized) For the Year Ended December 31 (in millions of U.S. dollars) 2018 2017 Sales Revenues $ 21,965 100 % $ 21,146 Salaries and Wages Expense 7,649 % 7,305 Fuel Oil, Repairs, and Maintenance 5,723 % 5,077 Other Operating Expenses 5,387 25 % 5,357 Other Expenses (Revenues) 42 0 % 142 Income before Income Tax Expense 3,164 14 % 3,265 Income Tax Expense (Recovery) 699 3 % (92) Net Income $ 2,465 % $ 3,357 100 % 35 % % % 1 % 15 % (1) % % S
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