Horizontal analysis of income statement For 20Y2, 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: 1. Prepare a comparotive income statement with horizontal analysis for the two-year period, using 20y1 as the base year, Round percentages to one decimal place For those boxes in which you must enter subtracted or negative numbers use a minus sign. 2. To the extent the data permit, cornment on the significant relationships revealed by the horizontal analysis prepared in (1). Net incorne has from 20y1 to 2002 . Sales have i however, the cost of goods sold has pace than sales. In addition, total operating expenses have at a faster rate than sales. gross profit to increase at a in costs and expenses that are higher than the increase in sales have caused the net income to