Revenue and expense data for the current calendar year for Smith Electronics Company and for the electronics industry are as follows. The Smith Electronics Company data are expressed in dollars. The electronics industry averages are expressed in percentages. Part 1: Smith Electronics Electronics Industry Company Average Sales $2,862,000 103.0% Sales returns and allowances 108,000 3.0% Net sales $2,754,000 100.0% Cost of goods sold 1,760,000 60.0% Gross profit $994,000 40.0% Selling expenses $642,000 25.0% Administrative expenses 258,000 10.0% Total operating expenses $900,000 35.0% Operating income $94,000 5.0% Other income 42,500 1.0% $136,500 6.0% Other expense 45,600 1.5% Income before income tax $90,900 4.5% Income tax expense 40,000 1.0% Net income $50,900 3.5% 13 a. Prepare a common-sized income statement comparing the results of operations for Smith Electronics Company with the industry average Round to one decimal place. b. As far as the data permit, comment on significant relationships revealed by the comparisons. Part 2: Balance sheet data for Kelly Company on December 31, the end of two recent fiscal years follow: Current Year Prior Year Current assets $ 2,486,000 $ 1,850,000 Property, plant and equipment 5,442,000 4,560,000 Intangible assets 1,606,000 975,000 Current liabilities Long-term liabilities 1,758,000 1,640,000 2,641,000 2,960,000 Common stock Retained earnings 1,340,000 842,000 3,795,000 1,943,000 I Prepare a comparative balance sheet for both years, stating each asset as a percent of total assets and each liability and stockholders' equity item as a percent of the total liabilities and stockholders' equity. Round percentages to one decimal place