P1. The comparative statements of Coyote Company are presented here. Coyote Company Income Statements For the Years Ended December 31 (unit = $) 2021 2020 Net sales $2,200,000 $2,000,000 Cost of goods sold 1,400,000 1,300,000 Gross profit 800,000 700,000 Selling and administrative expenses 420,000 340,000 Income from operations 380,000 360,000 Other expenses and losses Interest expense 60,000 70,000 Income before income taxes 320,000 290,000 Income tax expense 96,000 87,000 Net income 224,000 203,000