Horizontal Analysis of Income Statement For 20Y2, Macklin Inc. reported a significant decrease in net income. At the end of the year, John Mayer, the president, is presented with the following condensed comparative Income statement: Macklin Inc. Comparative Income Statement For the Years Ended December 31, 2012 and 2041 20Y2 2011 Sales $760,830 $665,000 Cost of goods sold (546,000) (420,000) Gross profit $214,830 $245,000 Selling expenses $(77,000) $(56,000) Administrative expenses (44.450) (35,000 Total operating expenses (12.450) $(91,000) $93.380 $154,000 Operating income 3.534 2,800 Other revenue $96,914 $156,800 Income before income tax expense (27,100 (47,000) Income tax expense $69,814 $109,800 Net income 1. Prepare a comparative Income statement with horizontal analysis for the two-year period, using 7071 as the base vear. Use the minus sign to indicate a decrease in the "Increase/Decreasey columns. If required, round percentages to one decimal place, Macklin Inc Comparative Income Statement For the Years Ended December 31, 2012 and 2011 Increase/ Increase/ (Decrease) (Decrease) 2012 2011 Amount Percent Sales $760,830 5665,000 Cost of goods sold (546,000) (420,000) Gross profit 3214,830 $245,000 Selling expenses $177,000) $56.000) Administrative expenses (44.4501 (35,000) Total operating expenses (121,450) (01.000) Operating Income 393 350 $154,000 3,534 2.00 Other revenue income before income tax expense $150.000 Income taxe pente 27.100) (47.000) 309,314 $109,00 however the cout of goods as 201 to 2012. Sales have Net income $69,814 $109,800 % 2. Net income has ; however, the cost of goods sold has from 20Y1 to 2012. Sales have at a faster rate than sales, causing the gross profit to