Income statements for Walton Company for Year 3 and Year 4 follow.

WALTON COMPANY
Income Statements
	Year 4	Year 3
Sales	$202,000	$182,000
Cost of goods sold	143,400	121,400
Selling expenses	20,500	18,500
Administrative expenses	12,800	14,800
Interest expense	3,300	5,300
Total expenses	$180,000	$160,000
Income before taxes	22,000	22,000
Income taxes expense	6,700	3,500
Net income	$15,300	$18,500

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.