Question
Income statements for Stuart Company for Year 3 and Year 4 follow. STUART COMPANY Income Statements Year 4 Year 3 Sales $200,200 $180,200 Cost of
Income statements for Stuart Company for Year 3 and Year 4 follow. STUART COMPANY Income Statements Year 4 Year 3 Sales $200,200 $180,200 Cost of goods sold 143,800 121,800 Selling expenses 20,900 18,900 Administrative expenses 12,200 14,200 Interest expense 3,300 5,300 Total expenses $180,200 $160,200 Income before taxes 20,000 20,000 Income taxes expense 6,800 3,800 Net income $13,200 $16,200 Required Perform a horizontal analysis, showing the percentage change in each income statement component between Year 3 and Year 4. Perform a vertical analysis, showing each income statement component as a percentage of sales for each year.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., 0.234 should be entered as 23.4).)
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