Horizontal Analysis of Income Statement For 2012, McDade Company reported a decline in net income. At the end of the year, T. Burrows, the president, is presented with the following condensed comparative income statement: McDade Company Comparative Income Statement For the Years Ended December 31, 2012 and 2041 20Y2 2011 $618,678 $513,000 320,000 454,400 Sales Cost of merchandise sold Gross profit Selling expenses $164,278 $193,000 $65,580 $43,000 Administrative expenses 37,210 27,000 Total operating expenses $102,790 $70,000 Income from operations $123,000 $61,488 2,829 Other revenue 2,200 Income before income tax expense $64,317 $125,200 Income tax expense 18,000 37,600 $46,317 $87,600 Net income Required: 1. Prepare a comparative Income statement with horizontal analysis for the two-year period, using 20Y1 as the base year. Round percentages to one decimal place. Use the minus sign to indicate a decrease in the "Difference" columns McDade Company Comparative Income Statement For the Years Ended December 31, 20Y2 and 2041 Difference Difference - Amount 2012 - Percent 2011 Sales $618,678 $513,000 % Cost of merchandise sold 454,400 320,000 Gross profit $164,278 $193,000 Selling expenses $65,580 $43,000 6 Administrative expenses 37,210 27,000 Total operating expenses $102,790 $70,000 Income from operations $61,488 $123,000 % Other revenue 2,829 2,200 % 9% % % % Income before income tax expense $64,317 $125,200 % 18,000 Income tax expense 37,600 90 $46,317 Net income $87,600 96