Exercise 14-1 (Algo) Common-Size Income Statement [LO14-1] A comparative income statement is given below for McKenzie Sales, Limited, of Toronto: McKenzie Sales, Limited Comparative Income Statement Sales This Year $ 7,320,000 Cost of goods sold Gross margin 4,710,000 2,610,000 Last Year $ 5,563,200 3,513,500. 2,049,700 Selling and administrative expenses: 1,381,000 1,080,500 Administrative expenses 708,000 608,500 2,089,000 1,689,000 521,000 99,000 $ 422,000 360,700 87,000 $ 273,700 Selling expenses Total expenses Net operating income Interest expense Net income before taxes Members of the company's board of directors are surprised to see that net income increased by only $148,300 when sales increased by $1,756,800. Required: 1. Express each year's income statement in common-size percentages. (Round your percentage answers to 1 decimal place (i.e., 0.1234 should be entered as 12.3).) Sales Cost of goods sold Gross margin This Year Last Year % % 0.0 % 0.0 %