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Income Statement Decline in Net Income Express the following comparative Income statements in common-size percents. (Round your percentage answers to 1 decimal place.) Sales Cost

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Income Statement Decline in Net Income Express the following comparative Income statements in common-size percents. (Round your percentage answers to 1 decimal place.) Sales Cost of goods sold Gross profit Operating expenses Net income GOMEZ CORPORATION Comparative Income Statements For Years Ended December 31 Current Year Current Year Prior Year 5 % s 755,000 100,0 $ 640,000 570.800 1.0 % 293.200 184,200 53.1 346,800 129,200 222,800 $ 55,000 $ 124,000 Prior Year % 100.0 51.4% 53.13 Income Common-size and trend percents for Roxi Company's sales, cost of goods sold, and expenses follow. Common-Sire Percents Trend Percenta Current 1 Year 2 Years Current 1 Year 2 Years Year Ago Ago Year Ago Ago Sales 100.00 100.00 100.00 104.08 102.81 100.00 Cont of goods sold 63.4 51.2 56.8 116.1 110.8 100.0 Operating expenses 14.2 13.7 14.0 105.5 100.6 100.0 Determine the net income for the following years. Did the net income increase, decrease, or remain unchanged in this three-year period? Complete this question by entering your answers in the tabs below. Change in Net Income Net Income Determine the net income for the following years. Assuming sales were $100,000 2 yrs ago, what is net income in each year? (Enter all amounts as positive values.) 1 Year Ago Sales Cost of Goods Sold Operating Expenses Net Income Current Year $ 104.000 116,100 105,500 $ (117,600) 2 Years Ago $ 100,000 56.800 14,000 $ 29,200 In the current year, Randa Merchandising Incorporated sold its interest in a chain of wholesale outlets, taking the company completely out of the wholesaling business. The company still operates its retail outlets. A listing of the major sections of an income statement follows. Item Debit Credit 1. Net sales $3,800,000 2. Gain on state's condemnation of company property 301,000 3. Cont of goods sold $ 1,939,000 4. Income tax expense 284,000 5. Depreciation expense 304,000 6. Gain on sale of wholesale business segment, net of tax 1,016,000 7. Loss from operating wholesale business segment, net of tax 592,000 6. Loos of assets from meteor strike 839,000 Prepare the December 31 year-end Income statement. (Loss amounts should be indicated with a minus sign.) RANDA MERCHANDISING, INCORPORATED Income Statement For Year Ended December 31 Net sales Expenses Total Operating expenses 0 0 Other unusual and/or infrequent gains (losses) 0 0 Discontinued segment 0 $ 0

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