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Horizontal Analysis for Income Statement For 2023, Greyhound Technology Company reported its most significant decline in net income in years. At the end of the
Horizontal Analysis for Income Statement For 2023, Greyhound Technology Company reported its most significant decline in net income in years. At the end of the year, Duane Vogel, the president, is presented with the following condensed comparative income statement: GREYHOUND TECHNOLOGY COMPANY Comparative Income Statement For the Years Ended December 31, 20Y3 and 20Y2 2013 20Y2 Sales $ 680,877 S 617,000 Cost of goods sold (475,800) (390,000) Gross profit $ 205,077 $ 227,000 Selling expenses $ (66,300) $ (52,000) Administrative expenses (39,530) $ (105,830) Total operating expenses (33,000) $(85,000) $ 142,000 Income from operations $ 99,247 Other income 3,201 2,600 Income before income tax $ 102,448 $ 144,600 Income tax expense (28,700) $ 73,748 (43,400) 5 101,200 Net income Instructions: 1. Prepare a comparative income statement with horizontal analysis for the two-year period, using 20Y2 as the base year. Enter decreases as negative amounts and negative percentages. Round percentage changes to one decimal place. Greyhound Technology Company Comparative Income Statement For the Years Ended December 31, 20Y3 and 20Y2 Increase (Decrease) Increase (Decrease) 2043 2042 A mount Percent $680,877 $617,000 $ (475,800) (390,000) $205,077 $227,000 Sales Cost of goods sold Gross profit Selling expenses Administrative expenses $(66,300) (39,530) $(52,000) $ (33,000) Total operating expenses $(105,830) $(85,000) $ $99,247 $142,000 $ 3,2012 ,600 Childbij Income from operations Other income Income before income tax Income tax expense $102,448 (28,700) $73,748 $144,600 $ (43,400) $101,200 Net income
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