Garrott Corporation's total assets were $1,505,000 at the end of Year 2 and $1,520,000 at the end of Year 1. Its total stockholders' equity was $1,197,000 at the end of Year 2 and $1,180,000 at the end of Year 1. Sales (all on account) Cost of goods sold Gross margin Operating expenses Net operating income Interest expense Net income before taxes Income taxes (30%) Net income Income Statement For the Year Ended December 31, Year 2 $ 1,340,000 830,000 510,000 465,143 44,857 9,000 35,857 10,757 $ 25,100 The company's gross margin percentage for Year 2 is closest to: 2031.9% 38.1% 4.9% 61.4%