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Income statements for Baird Company for 2018 and 2019 follow: BAIRD COMPANY Income Statements 2019 Sales $ 201,200 Cost of goods sold 143, 100 Selling
Income statements for Baird Company for 2018 and 2019 follow: BAIRD COMPANY Income Statements 2019 Sales $ 201,200 Cost of goods sold 143, 100 Selling expenses 20,200 Administrative expenses 12,900 Interest expense 3,100 Total expenses $179, 300 Income before taxes 21,900 Income taxes expense 6,400 Net income $ 15,500 2018 $ 181,200 121,100 18,200 14,900 5,100 $159,300 21,900 3,700 $ 18,200 Required a. Perform a horizontal analysis, showing the percentage change in each income statement component between 2018 and 2019. b. Perform a vertical analysis, showing each income statement component as a percentage of sales for each year. Complete this question by entering your answers in the tabs below. Required A Required B Perform a horizontal analysis, showing the percentage change in each income statement component between 2018 and 2019 (Negative answers should be indicated by a minus sign. Round your answers to 1 decimal place. (i.e., .234 should be entere as 23.4).) BAIRD COMPANY Horizontal Analysis of Income Statements Percentage Change over 2018 Sales Cost of goods sold Selling expenses Administrative expenses Interest expense Total expenses Income before taxes Income taxes expense Net income (loss) Complete this question by entering your answers in the tabs below. Required A Required B Perform a vertical analysis, showing each income statement component as a percentage of sales for each year. (Percentages may not add exactly due to rounding. Round your answers to 1 decimal place. (i.e., .234 should be entered as 23.4).) BAIRD COMPANY Vertical Analysis of Income Statements Percentage of Percentage of Sales 2019 Sales 2018 Sales Cost of goods sold Selling expenses Administrative expenses Interest expense Total expenses Income before taxes Income taxes expense Net income %
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