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Income statements for Zachary Company for Year 3 and Year 4 follow ZACHARY COMPANY Income Statements Year 4 Sales $201.6ee Cost of goods sold 143.100

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Income statements for Zachary Company for Year 3 and Year 4 follow ZACHARY COMPANY Income Statements Year 4 Sales $201.6ee Cost of goods sold 143.100 Selling expenses 20,400 Administrative expenses 12,600 Interest expense 3,200 Total expenses $179,300 Income before taxes 22,300 Income taxes expense 5,500 tiet Income $ 16,000 Year $181.600 121, 100 18,400 14,600 5.200 $159,300 22,300 100 $19.000 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 percentage answers to 1 decimal place. (le, 0.234 should be entered as 23.4).) ZACHARY COMPANY Horizontal Analysis of Income Statements Percentage Change over Year 3 Sales % Cost of goods sold Selling expenses Administrative expenses Interest expense Total expenses Income before taxes Income taxes expense Net Income (loss Required B > % ru Reyuu 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 percentage answers to 1 decimal place. (i.e., 0.234 should be entered as 23.4.) ZACHARY COMPANY Vertical Analysis of Income Statements Percentage of Percentage of Sales Year 4 Sales Year 3 Sales Cost of goods sold Seling expenses Administrative expenses Interest expense Total expenses Income before taxes Income taxes expense 96 Not income

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