eBook Show Me How Common-Sized Income Statement Revenue and expense data for the current calendar year for Tannenhill Company and for the electronics Industry are as follows. Tannenhill's data are expressed in dollars. The electronics Industry averages are expressed in percentages. Electronics Tannenhill Industry Company Average Sales $1,860,000 100 % Cost of merchandise sold 1,190,400 69 Gross profit $669,600 31 % Selling expenses $409,200 18 % Administrative expenses 148,800 Check My Work a. Prepare a common-sized income statement comparing the results of operations for Tannenhill Company with the industry average. If required, round percentages to one decimal place. Enter all amounts as positive numbers. Tannenhill Company Common-Sized Income Statement For the Year Ended December 31 Tannenhill Tannenhill Electronics Company Company Industry Amount Percent Average Sales $1,860,000 % 100.0% Cost of merchandise sold 1,190,400 % 69% Gross profit $669,600 % 31% Selling expenses $409,200 18% Administrative expenses 148,800 7% Total operating expenses $558,000 25% Income from operations $111,600 6% Other revenue and expense: Other revenue 37,200 2% 19% Other expense (18,600) 79 Income before income tax $130,200 55,800 59% Income tax expense $74,400 2% Net income * % % ***** | b. The company is managing the cost of manufacturing product than the industry, and has slightly administrative expenses relative to the industry. The combined impact causes net income as a percent of sales to be average selling and than the industry