Section A Profitability 3 Marks Sam Li owns Sleek Furniture, a small furniture business in North Canterbury. At the end of 2012 Sleek Furniture expanded their range of furniture from just selling lounge and dining furniture to also selling bedroom furniture. Sleek Furniture Extracts of the Income Statement for the years ended 30 June Sales (80% on credit) Gross Profit Distribution Costs Administrative Expenses Finance Costs Profit for the year 2012 220,000 120,000 43,000 50,000 2.000 25,000 2013 299,000 169,000 70,000 61,000 3,000 35,000 Required: a) Complete the table by calculating the missing percentages for 2013. Round calculations to one decimal place. 2013 % Change in Sales Mark-Up% Distribution Costs % Net Profit/Profit for the Year % 2012 15.0% 120.0% 19.6% 11.4% 23.4% 11.7% (1 Mark) b) Explain the reason for the trend in the distribution costs %. (1 Mark) c) State the meaning of the net profit / profit for the year % for Sleek Furniture in 2013. (1 Mark)