Exercise 12-2A Prepare vertical analysis (LO12-1) The income statements for Federer Sports Apparel for 2022 and 2021 are presented below. Required: Prepare a vertical analysis of the data for 2022 and 2021. (Round your percentage answers to 1 decimal place.) FEDERER SPORTS APPAREL Income Statement For the Years Ended December 31 2022 2021 % Amount % Amount 19,400,000 $ $ 12,920,400 16,100,000 7,373,800 8,726,200 1,336,300 1,143, 100 Net sales Cost of goods sold Gross profit Operating expenses Depreciation expense Inventory write-down Loss (litigation) Income before tax Income tax expense Net income 0 6,479,600 1,765,400 1,144,600 329,800 1,668,400 1,571,400 582,000 989,400 289,800 5,957,000 2,173,500 3,783,500 $ $ Exercise 12-3A Prepare horizontal analysis (LO12-2) The income statements for Federer Sports Apparel for 2022 and 2021 are presented below. Required: Prepare a horizontal analysis for 2022 using 2021 as the base year. (Decreases should be indicated with a minus sign. Round your percentage answers to 1 decimal place.) FEDERER SPORTS APPAREL Income Statement For the Years Ended December 31 Year Increase (Decrease) Amount % 2022 2021 $ Net sales Cost of goods sold Gross profit Operating expenses Depreciation expense Inventory write-down Loss (litigation) Income before tax Income tax expense Net income 18,300,000 $ 13,395,600 4,904,400 1,464,000 878,400 109,800 1,372,500 15,000,000 6,705,000 8,295,000 1,080,000 878,400 360,000 1,079,700 347,700 5,976,600 1,860,000 4,116,600 $ 732,000 $