Part A) The expense account that is the largest as a percent of service revenue in 2016 is

A.Office Supplies Expense

B.Job and Materials Expense

C.Wages Expense

Part B)Telephone Expense as a percent of Service Revenue in 2017 is

A.1.81%

B.1.60%

C.8.75%

Vertical Analysis Capital City Carpet Cleaning Income Statement For the Years Ended June 30, 2017 and June 30, 2016 2017 2016 2017 2016 Percentage Percentage Revenue: Service Revenue $108,500.00 $88,400.00 100% 100% Expenses: Wages Expense Advertising Expense Repairs Vehicle Expense Telephone Expense Office Supplies Expense Job and Materials Expense Depreciation Expense Van Depreciation Exp.-Equip. 61,500.00 59,100.00 9,370.00 2,250.00 3,690.00 1,600.00 500.00 4,020.00 4,780.00 1,655.00 11,350.00 1,400.00 4,370.00 1,740.00 625.00 4,925.00 4,930.00 1,820.00 & Maint Equipment Exp Total Expenses 92,660.00 S 86,965.00 Net Income 15,840.00 1,435.00 Vertical Analysis Capital City Carpet Cleaning Income Statement For the Years Ended June 30, 2017 and June 30, 2016 2017 2016 2017 2016 Percentage Percentage Revenue: Service Revenue $108,500.00 $88,400.00 100% 100% Expenses: Wages Expense Advertising Expense Repairs Vehicle Expense Telephone Expense Office Supplies Expense Job and Materials Expense Depreciation Expense Van Depreciation Exp.-Equip. 61,500.00 59,100.00 9,370.00 2,250.00 3,690.00 1,600.00 500.00 4,020.00 4,780.00 1,655.00 11,350.00 1,400.00 4,370.00 1,740.00 625.00 4,925.00 4,930.00 1,820.00 & Maint Equipment Exp Total Expenses 92,660.00 S 86,965.00 Net Income 15,840.00 1,435.00