The following information for Macaron Furniture, a retail furniture and design firm. Macaron Furniture Balance Sheets December 31 2021 December 31 2020 Assets $41,009 $52,707 Current assets: Cash Accounts receivable Inventory 566,670 446,171 5,082,280 4,807.923 84,050 77,620 5,774,009 5,384,421 1,093,968 1,095,850 $6,867,977 $6,480,271 $604,072 $622,648 680,496 619,680 Prepaid expenses Total current assets Building and equipment, net Total assets Liabilities and Stockholders' Equity Current liabilities: Accounts payable Bank loan payable Other accrued payables Total current liabilities Long-term debt Total liabilities Stockholders' equity: Common stock Retained earnings Total stockholders equity Total liabilities and stockholders' equity 214,135 310.135 1,498,703 1.552,463 1.719,289 1,810,406 3,217.992 3,362,869 1,362,391 1,362,391 2,287,594 1.755,011 3,649,985 3,117,402 $6,867.977 $6,480,271 680,496 619,680 214,135 310,135 1,498,703 1.552.463 1.719,289 1,810,406 3,217,992 3,362,869 Bank loan payable Other accrued payables Total current liabilities Long-term debt Total liabilities Stockholders' equity: Common stock Retained earnings Total stockholders' equity Total liabilities and stockholders' equity 1,362,391 1,362,391 2,287,594 1,755,011 3,649,985 3,117,402 $6,867,977 $6,480,271 Macaron Furniture Statement of Earnings Year Ended December 31, 2021 Year Ended December 31 2020 Net sales $5,526,702 $5,232,763 2,868,080 2,620,595 2,658,622 2,612,168 496,536 628,350 Cost of goods sold Gross margin Operating expenses Selling expenses General and administrative expenses Total operating expenses Operating income Interest expense Income before taxes 831,830 783,413 1,328,366 1,411.763 1,330,256 1.200,405 137.644 159.181 1,192,612 1,041,224 Income taxes 238,522 208.245 Net income $954,090 $832.979 Perform a horizontal analysis of income statements for Macaron Furniture. (Round percentage change answers to 1 decimal place, eg. 5.2%. If amount and percentage are a decrease show the numbers as negative, eg. -55,000,-5.25% or (55,000). (5.25%)) Macaron Furniture Statement of Earnings Year Ended Year Ended December December 31. 31, 2021 2020 Percent Change Change Net sales $5,526,702 $5,232,763 Cost of goods sold 2,868,080 2,620,595 Gross margin 2,658,622 2,612,168 Operating expenses: Selling expenses 496,536 628,350 General and administrative expenses 831,830 783,413 Total operating expenses 1.328,366 1,411,763 Operating income 1,330,256 1.200,405 Interest expense 137,644 159.181 Income before taxes 1,192,612 1.041.224 Income taxes 238,522 208.245 Net income $954,090 $832,979