Income statements for Thornton Company for Year 3 and Year 4 follow. THORNTON COMPANY Income Statements Sales Year 4 $200,500 Year 3 $180,500 Cost of goods sold 142,500 120,500 Selling expenses 21,800 19,800 Administrative expenses Interest expense Total expenses 12,400 14,400 3,300 5,300 $180,000 $160,000 Income before taxes Income taxes expense Net income 20, 500 6,700 $13,800 20,500 3,000 $17,500 Required a. Perform a horizontal analysis, showing the percentage change in each income statement component between Year 3 and Year 4 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 Year 3 and Year 4. (Negative answers should be indicated by a minus sign. Round your answers to 1 decimal place. (i.e., 0.234 should be entered as 23.4).) THORNTON COMPANY Horizontal Analysis of Income Statements Sales Cost of goods sold Selling expenses Administrative expenses Interest expense Total expenses Percentage Change over Year 3 % Income before taxes Income taxes expense Net income (loss) % Required B>