Please help. Need to find the percent for 2016 and 2015. How would I do that?

4/14/2016 CengageNOWv2 | Online teaching and learning resource from Cengage Learning Vertical analysis of income statement Instructions For 2016, Indigo Company initiated a sales promotion campaign that included the expenditure of an additional $39,000 for advertising. At the end of the year, Lumi Neer, the president, is presented with the following condensed comparative income statement: Indigo Company Comparative Income Statement For the Years Ended December 31, 2016 and 2015 1 2 Sales 3 Cost of goods sold 4 2016 2015 $940,000.00 $540,000.00 338,400.00 205,200.00 Gross profit $601,600.00 $334,800.00 5 Selling expenses $159,800.00 $81,000.00 6 Administrative expenses 47,000.00 37,800.00 7 Total operating expenses $206,800.00 $118,800.00 8 Income from operations $394,800.00 $216,000.00 9 Other income 75,200.00 43,200.00 10 Income before income tax $470,000.00 $259,200.00 11 Income tax expense 235,000.00 135,000.00 12 Net income $235,000.00 $124,200.00 Required: 1. Prepare a comparative income statement for the twoyear period, presenting an analysis of each item in relationship to sales for each of the years. Round your percentages to one decimal place. Enter all amounts as positive numbers. 2. To the extent the data permit, comment on the significant relationships revealed by the vertical analysis prepared in (1). Income Statement 1. Prepare an income statement in comparative form, stating each item for both years as a percent of sales. Round your percentages to one decimal place. Enter all amounts as positive numbers. Indigo Company Comparative Income Statement For the Years Ended December 31, 2016 and 2015 http://v2.cengagenow.com/ilrn/takeAssignment/takeAssignmentMain.do?invoker=&takeAssignmentSessionLocator=assignmenttake 1/2 4/14/2016 CengageNOWv2 | Online teaching and learning resource from Cengage Learning 1 2016 2016 2015 2015 2 Amount Percent Amount Percent 3 Sales $940,000.00 $540,000.00 4 Cost of goods sold 338,400.00 205,200.00 5 Gross profit $601,600.00 $334,800.00 6 Selling expenses $159,800.00 $81,000.00 7 Administrative expenses 47,000.00 37,800.00 8 Total operating expenses $206,800.00 $118,800.00 9 Income from operations $394,800.00 $216,000.00 10 Other income 75,200.00 43,200.00 11 Income before income tax $470,000.00 $259,200.00 12 Income tax expense 235,000.00 135,000.00 13 Net income $235,000.00 $124,200.00 Final Question 2. Comment on the significant relationships revealed by the vertical analysis prepared in (1). The vertical analysis indicates that the costs other than selling expenses (cost of goods sold and administrative expenses) improved as a percentage of sales. As a result, net income as a percentage of sales increased by 2 percentage points. The sales promotion campaign appears to have been successful . While selling expenses as a percent of sales increased slightly, the increased cost was more than made up for by increased sales. http://v2.cengagenow.com/ilrn/takeAssignment/takeAssignmentMain.do?invoker=&takeAssignmentSessionLocator=assignmenttake 2/2