Book Show Me How Calculator Horizontal Analysis of the Income Statement Income statement data for Boone Company for two recent years ended December 31, are as follows: Current Year Previous Year Sales $824,100 701,800 $670,000 580,000 Cost of goods sold Gross profit $90,000 Selling expenses $122,300 $35,030 31,460 $31,000 26,000 Administrative expenses Total operating expenses Income before income tax 566,490 $57,000 $33,000 $55,810 22,300 13,200 Income tax expenses $33,510 $19,800 Net income a. Prepare a comparative income statement with horizontal analysis, indicating the increase (decrease) for the current year when compared with the previous year. If regBired, round to one decimal place. Boone Company Comparative Income Statement For the Years Ended December 31 Current year Amount Previous year Amount increase (Decrease) Amount Increase (Decrease) Percent Sales $824,100 $670,000 Cost of goods sold 201.800 580,000 Cross profit 5122,300 $90.000 Seling expenses 35,030 31.000 Administrative expenses Previous Check My Work 1 more Check My Work uses romana CenNOWV2 Tonine teat r escu eBook Show Me How Calculator $66,490 $57,000 Total operating expenses Income before income tax $55,810 22,300 $33,000 13,200 Income tax expenses Net Income $33,510 $19,800 2. Prepare a comparative Income statement with horizontal analysis, indicating the increase (decrease) for the current year when compared with the previous year. If required, round to one decimal place. Boone Company Comparative Income Statement For the Years Ended December 31 Current year Amount Previous year Amount increase (Decrease) Amount Increase (Decrease) Percent Sales $824,100 $670,000 Cost of goods sold 701,800 580,000 Gross proft $122,300 $90,000 Seing expenses 35,030 31,460 31,000 26,000 Administrative per DIDINI Qududi Total operating expenses $66,490 $57,000 Income before income tax $55,810 Income tax expense 22,300 $33.000 13.200 Net Income $13,510 $19.000 b. The net income for Boone Company increased by 69.2 between years. This increase was the combined result of an percentage in cost of goods sold. The cost of goods sold increased at a thus causing the percentage increase in gross profit to be than the percentage increase in sales. in sales of 23% and rate than the increase in sales, Check My Work 1 more Check My Work uses remaining