Sales McKenzie Sales, Limited Comparative Income Statement Cost of goods sold Gross margin Selling and administrative expenses: Selling expenses Total expenses Net operating income Administrative expenses This Year $ 7,360,000 4,590,000 Last Year $5,593,600 3,511,500 2,770,000 2,082,100 1,372,000 1,076,000 708,000 2,080,000 615,000 1,691,000 690,000 391,100 100,000 $590,000 Interest expense Net income before taxes 90,000 $ 301,100 Members of the company's board of directors are surprised to see that net income increased by only $288,900 when sales increased by $1,766,400. Required: 1. Express each year's income statement in common-size percentages. (Round your percentage answers to 1 decimal place (i.e., 0.1234 should be entered as 12.3).) Selling expenses Sales Cost of goods sold Gross margin Selling and administrative expenses Administrative expenses This Year Last Year % % % % % % $6 % Total selling and administrative expenses % % Net operating income % % Interest expense % Net income before taxes % %