Last Year $5,570, 800 3,506,500 2,064, 300 McKenzie Sales, Ltd. Comparative Income Statement This Year Sales $7,330,000 Cost of goods sold 4,720,000 Gross margin 2,610,000 Selling and administrative expenses: Selling expenses 1,386,000 Administrative expenses 704,500 Total expenses 2,090,500 Net operating income 519,500 Interest expense 104,000 Net income before taxes $ 415,500 1,081,500 612,500 1,694,000 370,300 93,000 $ 277, 300 Members of the company's board of directors are surprised to see that net income increased by only $138,200 when sales increased by $1,759,200. Required: 1. Express each year's income statement in common-size percentages. (Round your percentage answers to 1 decimal place (i.e., 0.1234 should be entered as 12.3).) This Year Last Year % % % % % % % % Sales Cost of goods sold Gross margin Selling and administrative expenses: Selling expenses Administrative expenses Total selling and administrative expenses Net operating income Interest expense Net income before taxes % % % % % % % % %