Exercise 14-1 Common-Size Income Statement [LO14-1] A comparative Income statement is given below for McKenzie Sales. Ltd. of Toronto Last Year $5,601,200 3.58.000 2,093,200 McKenzie Sales Ltd Comparative Income Statement This Year Sales 57.370,000 Cost of goods sold 4.670.000 Gross margin 2,200,000 Selling and disinistrative expenses Selling expenses 1,390,000 Administrative expenses 211, 500 Total expenses 2 101 500 Net operating income $58,500 Interest expense 105.000 Net income before taxes $493,500 1,050,500 616,500 396,200 93,000 $ 303,200 Members of the company's board of directors are surprised to see that net income increased by only $190,300 when sales increased by $1768.800 Members of the company's board of directors are surprised to see that net income increased by only $190.300 when sales increased by $1,768,800. Required: 1. Express each year's income statement in common-size percentages. (Round your percentage answers to 1 decimal place (.e., 0.1234 should be entered as 12.3).) This Year Last Year % 00 00% 9 94 Salos Cost of goods sold Gross margin Selling and administrative expenses Selling expenses Administrative expenses Total selling and administrative expenses Not operating income Interest expense Net income before taxes % 001 00 0019 00% 1% 00% 0.01%