Horizontal Analysis of Income Statement For 2012, MeDade 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 2012 2011 Sales $839,937 $703,000 Cost of goods sold 616,000 440,000 Gross profit $223,937 $263,000 Selling expenses 588,500 559.000 Administrative expenses 50,320 37,000 Total operating expenses $138,820 596,000 Income from operations 585, 117 $167,000 Other income 3,897 3,000 Income before income tax $89,014 $170,000 Income tax expense 24,900 51,000 Net income 564,114 5119,000 Required: Required: 1. Prepare a comparative Income statement with horizontal analysis for the two-year period, using 2071 as the base year. Use the minus sign to indicate a decrease in the Difference columns, if required, round to one decimal place. McDade Company Comparative Income Statement For the Years Ended December 31, 2012 and 2041 2012 2011 Difference - Amount Difference Percent Sales $839,937 $703,000 Cost of goods sold 616,000 440,000 Gross profit $223,937 $263,000 Selling expenses $88,500 $59,000 Administrative expenses 50,320 37,000 Total operating expenses $138,820 596,000 Income from operations 585,117 $167,000 Other income 3,897 3,000 Income before income tax $89,014 $170,000 $ Income tax expense 24,900 51,000 Net income 564,114 $119,000 from 20Y1 to 2012. Sales have however, the cost of goods sold has 2. Net Income has gross profitto causing the