Vertical Analysis of Income Statement

The following comparative income statement (in thousands of dollars) for the two recent fiscal years was adapted from the annual report of Motor Speedways Inc., owner and operator of several major motor speedways.

				Current Year			Previous Year
Revenues:
	Admissions			$94,560			$106,547
	Event-related revenue			132,480			139,935
	NASCAR broadcasting revenue			186,240			175,778
	Other operating revenue			66,720			68,740
		Total revenues		$480,000			$491,000
Expenses and other:
	Direct expense of events			$95,040			$103,110
	NASCAR purse and sanction fees			120,960			123,732
	Other direct expenses			19,680			29,460
	General and administrative			191,520			208,184
		Total expenses and other		$427,200			$464,486
Income from continuing operations				$52,800			$26,514

a. Prepare a comparative income statement for these two years in vertical form, stating each item as a percent of revenues. Enter all amounts as positive numbers. (Note: Due to rounding, amounts may not total 100%).

Round your percentages to one decimal place. Due to rounding differences, you will need to:

1. Calculate total expenses and other percentage by adding the expense percentages
2. Calculate the income from continuing operations percentage by deducting total expenses and other percentage from total revenue percentage.

Motor Speedways Inc.
Comparative Income Statement (in thousands of dollars)
For the Years Ended December 31
	Current Year Amount	Current Year Percent	Prior Year Amount	Prior Year Percent
Revenues:
Admissions	$94,560	%	$106,547	%
Event-related revenue	132,480	%	139,935	%
NASCAR broadcasting revenue	186,240	%	175,778	%
Other operating revenue	66,720	%	68,740	%
Total revenues	$480,000	%	$491,000	%
Expenses and other:
Direct expense of events	$95,040	%	$103,110	%
NASCAR purse and sanction fees	120,960	%	123,732	%
Other direct expenses	19,680	%	29,460	%
General and administrative	191,520	%	208,184	%
Total expenses and other	$427,200	%	$464,486	%
Income from continuing operations	$52,800	%	$26,514	%

Please explain how you got the answers