Vertical Analysis of Income Statement Revenue and expense data for Innovation Quarter Inc. for two recent years are as follows: Current Year Previous Year Sales $393,000 180,780 Cost of goods sold Selling expenses Administrative expenses $457,000 242,210 86,830 91,400 13,710 86,460 74,670 19,650 Income tax expense a. Prepare an income statement in comparative form, stating each item for both years as a percent of sales. If required, round percentages to one deci all amounts as positive numbers, Innovation Quarter Inc. Comparative Income Statement For the Years Ended December 31 Current year Amount Current year Percent Previous year Amount Previous year Percent Sales $457,000 96 $393,000 % % 242,210 Cost of goods sold % 180,780 % % 9% % 86,460 96 Selling expenses 86,830 Administrative expenses 91,400 % 74,670 % % a. Prepare an income statement in comparative form, stating each item for both years as a percent of sales. If required, round percentages to one decimal place. Enter all amounts as positive numbers. Innovation Quarter Inc. Comparative Income Statement For the Years Ended December 31 Current year Amount Current year Percent Previous year Amount Previous year Percent Sales $457,000 % $393,000 Cost of goods sold 242,210 % 180,780 Selling expenses 86,830 Administrative expenses 91,400 86,460 74,670 %% 19,650 % 13,710 Income tax expense by 7 percentage points, while selling expenses by 1 percentage points. Thus, net income as a percent of sales b. The vertical analysis indicates that the cost of goods sold as a percent of sales by 3 percentage points, and administrative expenses by 3 percentage points. Next