According to the producer price index database maintained by the Bureau of Labor Statistics, the average cost of computer equipment fell 3.8 percent between January and December 2016. Required: 1. Conduct a horizontal analysis by calculating the year-over-year changes in each line item, expressed in dollars and in percentages for the income statement of Computer Tycoon Inc. for the year ended December 31, 2016 2-a. Conduct a vertical analysis by expressing each line as a percentage of total revenues. 2-b. Excluding income tax, interest, and operating expenses, did Computer Tycoon earn more profit per dollar of sales in 2016 compared to 2015? Conduct a horizontal analysis by calculating the year-over-year changes in each line item, expressed in dollars and in percentages for the income statement of Computer Tycoon Inc. for the year ended December 31, 2016. (Decreases should be indicated by a minus sign. Round percentage values to 1 decimal place.) COMPUTER TYCOON, INC. Income Statements For the Year Ended December 31 Change in Dollars Percentage $ $ Sales Revenue Cost of Goods Sold Gross Profit Selling, General, and Administrative Expenses Interest Expense Income before Income Tax Expense Income Tax Expense Net Income 2016 110,000 65,000 45,000 37,000 600 7,400 1,500 5,900 2015 135,000 75,500 59,500 39,000 525 19,975 6,000 13,975 $ $ Conduct a vertical analysis by expressing each line as a percentage of total revenues. (Round percentage values to 1 decimal place.) $ % COMPUTER TYCOON, INC. Income Statements For the Year Ended December 31 2016 Sales Revenue $ 110,000 Cost of Goods Sold 65,000 Gross Profit 45,000 Selling, General, and Administrative Expenses 37,000 Interest Expense 600 Income before Income Tax Expense 7,4001 Income Tax Expense 1,500 Net Income 5,9001 2015 135,000 75,500 59,500 39,000 525 19,975 6,000 13,975