The Sports Warehouse operates in two distinct segments; equipment and apparel. The income statements for each operating segment are presented below. Required: 1. Complete the "%" columns to be used in a vertical analysis of The Sports Warehouse's two operating segments. Express each amount as a percentage of sales. (Round your answers to 1 decimal place.)

............	AMOUNT	%........	Amount	%.........
sales	$1,700,000		$2,850,000
Cost of goods sold	1,100,000		1,400,000
Gross profit	600,000		1,400,000
Operating expenses	250,000		500,000
operating income	350,000		950,000
other income (expenses)	25,000		(60,000)
income before tax	375,000		890,000
income tax expense	90,000		280,000
net income	$285,000		610,000

2. Use vertical analysis to compare the profitability of the two operating segments. Which segment is more profitable?

	Apparel?
	Equipment?