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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

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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? Complete this question by entering your answers in the tabs below. Reg 1 Req 2A Req 2B 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 S 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 108,000 $ 64,000 44,000 36,800 580 6,620 1,500 5,120$ Change in 2015 Dollars Percentage 132,000$ (24,000) % 74.700 (10.700) % 57,300 (13,300) % 38,600 (1.800) % 515 65 % 18,185 (11,565) % 5,800 (4,300) 12,385 S (7.265) % S Reg 2A > Complete this question by entering your answers in the tabs below. Req 1 Req 2A Req 28 Conduct a vertical analysis by expressing each line as a percentage of total revenues. (Round percentage values to 1 decimal place.) 2015 132,000 % $ % COMPUTER TYCOON, INC. Income Statements For the Year Ended December 31 2016 Sales Revenue 108,000 Cost of Goods Sold 64,000 Gross Profit 44,000 Selling, General, and Administrative Expenses 36,800 Interest Expense 580 Income before Income Tax Expense 6,620 Income Tax Expense 1,500 Net Income $ 5,120 % % % % % % % 74,700 57.300 38,600 515 18,185 5,800 12,385 % % % % % % %

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