Horizontal Analysis of the Income Statement Income statement data for Winthrop Company for two recent years ended December 31, are as follows: Current Year Previous Year Sales $894,000 $580,000 Cost of goods sold 736,600 580,000 Gross profit $147,400 $100,000 Selling expenses $44,400 $37,000 Administrative expenses 39,680 31,000 Total operating expenses $84,080 $68.000 Income before income tax $63,320 $32,000 Income tax expenses 25,000 12.800 Net income $38,020 $19,200 a. Prepare a comparative Income statement with horizontal analysis, indicating the increase (decrease) for the current year when compared with the previous year. If required, round to one decimal place Winthrop Company Comparative Income Statement For the Years Ended December 31 Current Previous Increase Increase year year (Decrease) (Decrease) Amount Amount Amount Percent $884,000 $680,000 $ % Sales 7136,600 Cost of goods sold 580,000 % $147,400 Gross profit % $100,000 $44,400 Selling expenses $37,000 % 39,680 Administrative expenses 31,000 % $84,080 Total operating expenses % $68,000 $ $63,320 Income before income tax $32,000 $ % Income tax expense 25,300 12,800 %