P14-37A. Ratio analysis over two years (Learning Objective 4) Comparative financial statement data of Tennyson, Inc., follow: o un w N- | 2017 Tennyson, Inc. Comparative Income Statements For the Years Ended December 31, 2017 and 2016 (amounts in thousands) 2016 6 Sales revenues I$ 445,910 $ 425,080 7 Less: Cost of goods sold 236,000 224,000 8 Gross profit 209,910 IS 201,080 9 Less: Operating expenses 132,000 128,000 10 Operating income 77,910 $ 73,080 11 Less: Interest expense 10,600 11,600 12 Income before income taxes 67,310 S 61,480 13 Less: Income tax expense 18,860 19,630 14 Net income 48,450 $ 41,850 15