Question 1 [33] Joseph is the owner of a business selling previously owned furniture and appliances. Joseph wants to implement strategies that will expand the business and increase its value and profitability. Joseph is very interested in making use of financial performance analysis tools to assess and manage the financial performance of the business. He approached you and requested that you assist him with the preparation of a common-size statements of comprehensive income for the years ended 2018 and 2019. He presented you with the following statements of comprehensive income for 2018 and 2019: Statements of comprehensive income for the years ending 2018 and 2019 2019 2018 Revenue 266 000 230 000 Cost of goods sold 160 000 142 000 Gross profit margin 106 000 88 000 General and administrative expenses 14 100 11 500 Marketing and selling expenses 16 700 15 200 Operating profit 75 200 61 300 Interest expense 12 000 15 000 Net profit before taxation 63 200 46 300 Income tax 18 960 13 890 Net profit for the year 44 240 32 410 Required: 1.3. Comment on the profitability of the business by basing your comments on the profitability ratios included in the common-size statement. (18)