Express the following comparative income statements in common-size percents. Using the common-size percentages, which item is most responsible for the decline in net income?

Express the following comparative income statements in common-size percents. (Round your percentage answers to 1 decimal place.)

GOMEZ CORPORATION
Comparative Income Statements
For Years Ended December 31
	Current Year		Prior Year
	$	%	$	%
Sales	$730,000		$640,000
Cost of goods sold	565,400		288,800
Gross profit	164,600		351,200
Operating expenses	128,000		261,200
Net income	$36,600		$90,000

Using the common-size percentages, which item is most responsible for the decline in net income?