Problem 3-12 Linden Corp. has a 10% market share in its industry. Below are income statements ($M) for Linden and for the industry. Linden Industry Sales $6,200 $66,000 Cost of Goods Sold 3,100 31,070 Gross Margin 3,100 34,930 Expenses: Sales and Marketing 430 3,850 Engineering 225 2,650 Finance and Administration 650 4,560 Total Expenses 1,305 11,060 EBIT 1,795 23,870 Interest Expense 230 4,500 EBT 1,565 19,370 Tax 500 5,620 Net Income 1,065 13,750 a. Develop common sized income statements for Linden and the industry as a whole. Round the answers to 2 decimal places. % * Linden % Industry Sales $6,200 $66,000 Cost of Goods 3,100 31,070 Sold Gross Margin 3,100 34,930 Expenses: Sales and 430 3,850 Marketing Engineering 225 2,650 Finance and 650 4,560 Administration Total 1,305 Expenses 11,060 EBIT 1,795 23,870 Interest 230 4,500 Expense EBT 1,565 Tax 500 Net Income 1,065 19,370 5,620 13,750 b. What areas should management focus on to improve performance, and what kind of issues should be examined or looked for in each area? The input in the box below will not be graded, but may be reviewed and considered by your instructor.