Assume the average cost of computer equipment fell 23.1 percent between 2012 and 2013. Let's see whether these changes are reflected in the income statement of Computer Tycoon Inc. for the year ended December 31, 2013 2-a. Conduct a vertical analysis by expressing each line as a percentage of total revenues. (Round your answers to 1 decimal place. Input all amounts as positive values.) Sales Revenues Cost of Goods Sold 2013 $98,400 60.400 2012 $126,108 75,665 Gross Profit Selling, General, and Administrative Expenses Interest Expense 38,000 34.000 530 50,443 34.000 420 $ COMPUTER TYCOON, INC. Vertical Analysis of Income Statements For the Years Ended December 31 2013 Sales revenues $ 98,400 % Costs of goods sold 60,400 Gross profit 38,000 Selling, general, and Administrative expenses 34,000 Interest expense 530 Income before income tax expense 3,470 Income tax expense 1,910 Net income $ 1,560 % Income before Income Tax Expense Income Tax Expense 3,470 1,910 16,023 5,544 2012 126,108 75,665 50,443 34,000 420 16,023 5,544 10,479 Net Income $ 1.560 $ 10,479 $ Required: 1-a. Conduct a horizontal analysis by calculating the year-over-year changes in each line item, expressed in dollars and in percentages. (Round your "Percentage" to 1 decimal place. Any decrease in amounts should be indicated with minus sign) 2-b. Excluding income tax, interest, and selling, general, and administrative expenses, did Computer Tycoon earn more profit per dollar of sales in 2013 compared to 2012? O No Yes COMPUTER TYCOON, INC. Vertical Analysis of Income Statements For the Years Ended December 31 Change in Percentage Dollars $ $ Sales revenues Costs of goods sold Gross profit Selling, general, and Administrative expenses Interest expense Income before income tax expense Income tax expense 2013 98,400 60,400 38,000 34,000 530 3,470 1,910 1,560 2012 126,108 75,665 50,443 34,000 420 16,023 Red 5,544 Net income $ $ 10,479