FALAWI 20 Homework SOLOMON COMPANY Income Statements 1 Year 4 Tear 3 Sales $201,200 $181,200 Cost of goods sold 142,300 120,300 Selling expe 21,500 19,500 Administrative expenses 12,700 14,700 Interest expense 3,100 5,900 Total expences $180,400 $160,400 Incone before taxes Book Income taxes expense liet income 20,000 6,500 $13,900 20,800 3,700 $17,100 Print References Required a. Perform a horizontal analysis, showing the percentage change in each income statement component between Year 3 and Year 4. b. Perform a vertical analysis, showing each income statement component as a percentage of sales for each year. Complete this question by entering your answers in the tabs below. Required A Required B Perform a horizontal analysis, showing the percentage change in each income statement component between Year 3 and Year 4. (Negative answers should be indicated by a minus sign. Round your percentage answers to 1 decimal place. (ie, 0.234 should be entered as 23.4).) SOLOMON COMPANY Horizontal Analysis of Income Statements Sales Cost of goods sold Seling expenses Administrative expenses Internal expense Total expenses Income before taxes Income taxes expense Net income (loss) Percentage Change over Year 3 Help Save & Exit