Observe the trends over the three years and the changes to the common-size percents you calculated in problems #1 & #2 (info included below) for the Korbin Company. Comment on those changes with regard to the increase or decrease of the elements and their relation to how they affected other elements on the statements, .i.e., gross profit, total assets, etc. Include the actual data you calculated from the problems to support your comments. (Your answer should approximate one-half page and encompass a few paragraphs on each statement type.)

Required Information [The following information applies to the questions displayed below.] Selected comparative financial statements of Korbin Company follow. KORBIN COMPANY Comparative Income Statements For Years Ended December 31, 2019, 2018, and 2017 2019 2018 2017 Sales $ 418,334 $ 320,478 $ 222,400 Cost of goods sold 251,837 203,584 142,336 Gross profit 166,497 116,974 88,054 Selling expenses 59,483 44.226 29, 357 Administrative expenses 37,650 28,292 18,459 Total expenses 97,053 72.428 47,816 Income before taxes 69,444 44.546 32,248 Income tax expense 12,917 6,546 Net income $ 56,527 $ 35,414 $ 25,792 9.132 2018 2017 KORBIN COMPANY Comparative Balance Sheets December 31, 2019, 2018, and 2017 2019 Assets Current assets $ 59,774 Long-term investments Plant assets, net 109,319 Total assets $ 169,093 Liabilities and Equity Current liabilities $ 24,688 Common stock 68, eee Other paid-in capital 8.599 Retained earnings 67,985 Total liabilities and equity $ 169,93 $ 40,097 790 99,758 $ 149,465 $ 53,480 3.239 59.665 $116,375 $ 29,929 68,000 8. see 43,036 $ 149,465 $ 20,366 50,000 5, 556 40.453 $ 116,375 2. Complete the below table to calculate income statement data in common-size percents. (Round your percentage answers to 2 decimal places.) Answer is complete and correct. | % KORBIN COMPANY Common-Size Comparative Income Statements For Years Ended December 31, 2019, 2018, and 2017 2019 2018 Sales 100.00 % 100.00 % Cost of goods sold 80.20 63.50 Gross profit 39.80 38.50 Selling expenses 14.20 13.80 Administrative expenses 9.00 8.80 Total expenses 23.20 22.60 Income before taxes 16.80 13.90 Income tax expense 2.85 Net income 13.51 % 11.05 % ooo 2017 100.00 64.00 36.00 13.20 8.30 21.50 14.50 2.041 11.56 % KORBIN COMPANY Balance Sheet Data in Trend Percents December 31, 2019, 2018 and 2017 2019 2018 2017 Assets Current assets Long-term investments Plant assets, net 111.77 % 0.00 183.22 145.30 % 74,81% 21.67 167.20 120.70 % 100.00 % 100.00 100.00 100.00 % Total assets Liabilities and Equity Current liabilities 102.78% 100.00% 100.00 136.00 Common stock Other paid-in capital 121.22% 136.00 152.99 167.88 152.99 100.00 106.39 Retained earnings Total liabilities and equity 100.00 100.00 % 145.301 96 120.7016