Comparative Common-Size Income Statement For the Years Ended December 31, 2017 and 2016 2017 2016 Sales revenues Less Cost of goods sold Gross proft Less: Operating expenses Operating income Less: Interest expense Income before income taxes Less: Income tax expense Net income Now you are ready to compare the two years. 100.00 % 100.00 % Spellbound Corporation Income Statement For the Years Ended December 31, 2017 and 2016 (amounts in thousands) 2017 2016 Sales revenues Less: Cost of goods sold Gross profit Less: Operating expenses Operating income Less: Interest expense Income before income taxes Less: Income tax expense Net income S 460,000 S 400,000 216,200 200,000 $ 243,800 S 200,000 100,000 $ 138,000 S 100,000 6,000 $ 128,475 94,000 14,000 $110,380 $ 80,000 105,800 9,525 18,095