Vertical Analysis of Income Statement For 20Y2, Tri-Comic Company initiated a sales promotion campaign that included the expenditure of an additional $15,000 for advertising. At the end of the year, Lumi Neer, the president, is presented with the following condensed comparative income statement: Tri-Comic Company Comparative Income Statement For the Years Ended December 31, 20Y2 and 2041 2012 20Y1 Sales $539,000 $464,000 285,670 $253,330 273,760 $190,240 $88,160 $107,800 Cost of goods sold Gross profit Selling expenses Administrative expenses Total operating expenses Income from operations 59,290 60,320 $167,090 $148,480 $86,240 $41,760 Other revenue 26,950 27,840 Income before income tax $113,190 $69,600 Income tax expense 43,120 27,840 Net Income $70,070 $41,760 1. Prepare a comparative income statement for the two-year period, presenting an analysis of each item in relationship to sales for each of the years. Enter percentages as whole numbers. Enter all amounts as positive numbers. Tri-Comic Company Comparative Income Statement For the Years Ended December 31, 20Y2 and 20Y1 20Y2 Amount 20Y2 Percent 20Y1 Amount 20Y1 Percent $539,000 % $464,000 % Sales Cost of goods sold 285,670 % 273,760 % Gross profit $253,330 % $190,240 % $ 107,800 % Selling expenses Administrative expenses $88,160 % 59,290 % 60,320 % $167,090 % Total operating expenses Income from operations $148,480 % $86,240 % $41,760 % Other revenue 26,950 % 27,840 % Income before income tax $113,190 % % Income tax expense $69,600 27,840 43,120 % % Net income $70,070 % $41,760 % 2. The vertical analysis indicates that the costs other than selling expenses (cost of goods sold and administrative expenses) as a percentage of sales. As a result, net income as a percentage of sales The sales promotion campaign appears to have been . While selling expenses as a percent of sales slightly, the cost was more than made up for by sales