Mariner Designs

Comparitive Income Statement for the years ended december 31, 2015 and 2014

2015 2014

NET SALES REVENUE $431,000 $372,350

EXPENSES

COGS 200,000 187,550 SELLING & ADMIN COSTS 99,000 91,050.

OTHER EXPENSES 8,350. 6,850.

TOTAL 307,350. 285,450.

NET INCOME $123,650 $86,900.

1. Prepare a horizontal analysisof this company's income statement. Round percentage changes to one decimal place. (42.3%)

2. Why did 2015 net income increase by a higher percentage than net sales revenue?