Question 1 M&M Manufacturing has provided the following comparative income statements: 2012 2013 2014 Net sales Cost of goods sold Gross margin $123,370 $138,110 $144,430 65,150 61,410 67,620 58,220 76,700 76,810 Selling and administrative expenses 22,000 26,720 34,930 3,850 5,480 8,260 32,370 44,500 33,620 10,790 11,125 8,405 $21,580 $33,375 $25,215 Operating profit Income taxes Net income Prepare a horizontal analysis of MSM's 2014 income statement. (Round percentage answers to 2 decimal places, eg. 1.64%, ramount or-1.64% or parentheses eg. (4,527) or (1.64%).) 2014 2013 s Change % Change Click if you would like to Show Work for this question: Open Show Work 28