The following comparative income statement (in thousands of dollars) for two recent fiscal years was adapted from the annual report of Speedway Motorsports, Inc. (TRK), owner and operator of several major motor speedways, such as the Atlanta, Texas, and Las Vegas Motor Speedways.

				Current Year			Previous Year
Revenues:
	Admissions			$90,639			$100,694
	Event-related revenue			136,900			146,980
	NASCAR broadcasting revenue			224,227			217,469
	Other operating revenue			60,390			31,320
		Total revenues		$512,156			$496,463
Expenses and other:
	Direct expense of events			$(102,786)			$(104,303)
	NASCAR event management fees			(137,727)			(133,682)
	Other direct expenses			(43,784)			(19,541)
	General and administrative			(166,663)			(285,166)
		Total expenses and other		$(450,960)			$(542,692)
Income from continuing operations				$61,196			$(46,229)

a. Prepare a comparative income statement for these two years in vertical form, stating each item as a percent of revenues. (Note: Due to rounding, amounts may not total 100%).

Round your percentages to one decimal place.

Speedway Motorsports, Inc.
Comparative Income Statement (in thousands of dollars)
For the Years Ended December 31
	Current Year Amount	Current Year Percent	Prior Year Amount	Prior Year Percent
Revenues:
Admissions	$90,639	fill in the blank %	$100,694	fill in the blank %
Event-related revenue	136,900	fill in the blank %	146,980	fill in the blank %
NASCAR broadcasting revenue	224,227	fill in the blank %	217,469	fill in the blank %
Other operating revenue	60,390	fill in the blank %	31,320	fill in the blank %
Total revenues	$512,156	fill in the blank %	$496,463	fill in the blank %
Expenses and other:
Direct expense of events	$(102,786)	fill in the blank	$(104,303)	fill in the blank
NASCAR event management fees	(137,727)	fill in the blank	(133,682)	fill in the blank
Other direct expenses	(43,784)	fill in the blank	(19,541)	fill in the blank
General and administrative	(166,663)	fill in the blank	(285,166)	fill in the blank
Total expenses and other	$(450,960)	fill in the blank	$(542,692)	fill in the blank
Income from continuing operations	$61,196	fill in the blank %	$(46,229)	fill in the blank

b. Which of the following statements are correct?

1. Overall revenue increased between the two years, with changes in the mix of revenue sources. The NASCAR broadcasting revenue remained stable while admissions revenue decreased as a percentage of total revenue.
2. One of the major expense categories, NASCAR event management fees, remained stable.
3. The Direct expense of events increased, while Other direct expenses remained stable.
4. General and administrative expenses, however, decreased significantly. This decreased general and administrative cost was the driving factor behind the increase in income from continuing operations.