Vertical Analysis of Income Statement

The following comparative income statement $($in thousands of dollars$)$ for two recent years was adapted from the annual report of International Speedway Corporation $($ISCA$),$ owner and operator of several major motor speedways, such as the Daytona International Speedway and the Talledega Superspeedway.

Year $2$ Year $1$

Revenues:

Admissions $$114,800$ $$112,000$

Event$-$related revenue $123,200117,600$

Food, beverage, and merchandise $156,800145,600$

Other operating revenue $33,60028,000$

Total revenue $$428,400$ $$403,200$

Expenses and other:

Event$-$related expenses $$87,500$ $$81,250$

NASCARTM event management fees $81,25075,000$

Food, beverage, and merchandise $43,75037,500$

General and administrative $118,61043,750$

Total expenses $$331,110$ $$237,500$

Income from continuing operations $$97,290$ $$165,700$

Question Content Area

a$.$ Prepare a comparative income statement for Years $1$ and $2$ in vertical form, stating each item as a percent of revenues. Round percentages to one decimal place.

International Speedway Corporation

Comparative Income Statement $($in thousands of dollars$)$

For the Years Ended December $31,$ Year $2$ and Year $1$

Year $2$

Amount Year $2$

Percent Year $1$

Amount Year $1$

Percent

Revenues:

Admissions $$114,800$ fill in the blank $88$a$7$cf$005$ff$0$ff$5\_1$

$\%$ $$112,000$ fill in the blank $88$a$7$cf$005$ff$0$ff$5\_2$

$\%$

Event$-$related revenue $123,200$ fill in the blank $88$a$7$cf$005$ff$0$ff$5\_3$

$117,600$ fill in the blank $88$a$7$cf$005$ff$0$ff$5\_4$

Food, beverage, and merchandise $156,800$ fill in the blank $88$a$7$cf$005$ff$0$ff$5\_5$

$145,600$ fill in the blank $88$a$7$cf$005$ff$0$ff$5\_6$

Other operating revenue $33,600$ fill in the blank $88$a$7$cf$005$ff$0$ff$5\_7$

$28,000$ fill in the blank $88$a$7$cf$005$ff$0$ff$5\_8$

Total revenue $$428,400$ fill in the blank $88$a$7$cf$005$ff$0$ff$5\_9$

$\%$ $$403,200$ fill in the blank $88$a$7$cf$005$ff$0$ff$5\_10$

$\%$

Expenses and other:

Event$-$related expenses $$87,500$ fill in the blank $88$a$7$cf$005$ff$0$ff$5\_11$

$\%$ $$81,250$ fill in the blank $88$a$7$cf$005$ff$0$ff$5\_12$

$\%$

NASCARTM event management fees $81,250$ fill in the blank $88$a$7$cf$005$ff$0$ff$5\_13$

$75,000$ fill in the blank $88$a$7$cf$005$ff$0$ff$5\_14$

Food, beverage, and merchandise $43,750$ fill in the blank $88$a$7$cf$005$ff$0$ff$5\_15$

$37,500$ fill in the blank $88$a$7$cf$005$ff$0$ff$5\_16$

General and administrative $118,610$ fill in the blank $88$a$7$cf$005$ff$0$ff$5\_17$

$43,750$ fill in the blank $88$a$7$cf$005$ff$0$ff$5\_18$

Total expenses $$331,110$ fill in the blank $88$a$7$cf$005$ff$0$ff$5\_19$

$\%$ $$237,500$ fill in the blank $88$a$7$cf$005$ff$0$ff$5\_20$

$\%$

Income from continuing operations $$97,290$ fill in the blank $88$a$7$cf$005$ff$0$ff$5\_21$

$\%$ $$165,700$ fill in the blank $88$a$7$cf$005$ff$0$ff$5\_22$

$\%$