Last Year $5,624, eee 3,519,500 2,113,500 Comparative Income Statement This Year Sales $7,400,000 Cost of goods sold 4,660,000 Gross margin 2,740,000 Selling and administrative expenses: Selling expenses 1,400,000 Administrative expenses 703, see Total expenses 2,103,5ee Net operating income 636,500 Interest expense 100.000 Net incone before taxes $ 536,500 1,074,000 611,500 1,685,5ee 428,000 85,000 $343,000 Members of the company's board of directors are surprised to see that net income increased by only $193,500 when sales increased by $1,776,000. Required: 1. Express each year's income statement in common-size percentages. (Round your percentage answers to 1 decimal place ... 0.1234 should be entered as 12.3).) This Year 100.0% 63.0% 370 % Last Year 100.0 % 624% 37.6 % Sales Cost of goods sold Gross margin Selling and administrative exponses: Selling expenses Administrative expenses Total soiling and administrative expenses Net operating income Interest expense Net income before taxes % % 0.01% 37.01 0.01% 37.6% % 376 37.01%