The profit and loss statements for University X for the years 2016 and 2015 are presented below. 1. Critically reconstruct them using the concept of common size statements. (20 marks) 2. Estimate the changes between the years 2016 and 2015. (5 marks) 2016 OMR 12,903,439 2015 OMR 11,837,332 INCOME EXPENSES Salaries and related costs Administrative and general expenses Depreciation and amortisation, net of grant (8,013,038) (1,724,822) (905,165) (7,122,369) (1,555,968) (830,072) TOTAL EXPENSES (10,643,025) (9,508,409) INCOME FROM OPERATIONS 2,260,414 2,328,923 Interest income Interest expense 488,651 (421,554) 458,298 (288,769) NET FINANCE INCOME 67,097 169,529 2,327,511 (440,982) 2,498,452 (477,396) INCOME FOR THE YEAR BEFORE TAX Income tax expense NET INCOME AND TOTAL COMPREHENSIVE INCOME FOR THE YEAR 1,886,529 2,021,056 The profit and loss statements for University X for the years 2016 and 2015 are presented below. 1. Critically reconstruct them using the concept of common size statements. (20 marks) 2. Estimate the changes between the years 2016 and 2015. (5 marks) 2016 OMR 12,903,439 2015 OMR 11,837,332 INCOME EXPENSES Salaries and related costs Administrative and general expenses Depreciation and amortisation, net of grant (8,013,038) (1,724,822) (905,165) (7,122,369) (1,555,968) (830,072) TOTAL EXPENSES (10,643,025) (9,508,409) INCOME FROM OPERATIONS 2,260,414 2,328,923 Interest income Interest expense 488,651 (421,554) 458,298 (288,769) NET FINANCE INCOME 67,097 169,529 2,327,511 (440,982) 2,498,452 (477,396) INCOME FOR THE YEAR BEFORE TAX Income tax expense NET INCOME AND TOTAL COMPREHENSIVE INCOME FOR THE YEAR 1,886,529 2,021,056