Analysis of Liquidity Based on the comparative income statement and balance sheet of Cowan Kitchen Counters, Inc., that follow: Cowan Kitchen Counters, Inc. Comparative Income Statement For Years Ended December 31, 20-2 and 20-1 20-2 20-1 Net Sales (all on account) Cost of goods sold Gross profit Operating expenses Other expense (interest) $2,580,900 1,866,100 $714,800 310,200 24,200 176,900 $203,500 $2,162,600 1,619,200 $543,400 220,100 24,200 109,900 $189,200