Vertical Analysisof 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 YearPrevious YearRevenues:Admissions$104,656$118,041Event-related revenue140,864151,767NASCAR broadcasting revenue191,952182,427Other operating revenue58,52858,765Total revenues$496,000$511,000Expenses and other:Direct expense of events$96,720$105,777NASCAR purse and sanction fees126,480124,173Other direct expenses21,32819,929General and administrative200,880238,637Total expenses and other$445,408$488,516Income from continuing operations$50,592$22,484

a.P r e -pare 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 31Current Year AmountCurrent Year PercentPrior Year AmountPrior Year PercentRevenues:Admissions$104,656%$118,041%Event-related revenue140,864%151,767%NASCAR broadcasting revenue191,952%182,427%Other operating revenue58,528%58,765%Total revenues$496,000%$511,000%Expenses and other:Direct expense of events$96,720%$105,777%NASCAR purse and sanction fees126,480%124,173%Other direct expenses21,328%19,929%General and administrative200,880%238,637%Total expenses and other$445,408%$488,516%Income from continuing operations$50,592%$22,484%

b.While overall revenue

some between the two years, the overall mix of revenue sources did change somewhat. The NASCAR broadcasting revenue

as a percent of total revenue by 3 percentage points, while the percent of admissions revenue to total revenue

by 2 percentage points. Overall, it appears that income from continuing operations has significantly improved because of

.Please explain how you got the answer so I can do another problem this type. Thank you.

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 $104,656 $118,041 Event-related revenue 140,864 151,767 NASCAR broadcasting revenue 191,952 182,427 Other operating revenue 58,528 58,765 Total revenues $496,000 $511,000 Expenses and other: Direct expense of events $96,720 $105,777 NASCAR purse and sanction fees 126,480 124,173 Other direct expenses 21,328 19,929 General and administrative 200,880 238,637 Total expenses and other $445,408 $488,516 Income from continuing operations $50,592 $22,484 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 $104,656 |% $118,041 |% Event-related revenue 140,864 % 151,767 NASCAR broadcasting revenue 191,952 % 182,427 de Other operating revenue 8,528 58,765 Total revenues $496,000 $511,000 Expenses and other: Direct expense of events $96,720 % $105,777 % NASCAR purse and sanction fees 126,480 1% 124,173 Other direct expenses 21,328 % 19,929 General and administrative 200,880 % 238,637 Total expenses and other $445,408 $488,516 Income from continuing operations $50,592 $22,484 b. While overall revenue some between the two years, the overall mix of revenue sources did change somewhat. The NASCAR broadcasting revenue as a percent of total revenue by 3 percentage points, while the percent of admissions revenue to total revenue by 2 percentage points. Overall, it appears that income from continuing operations has significantly improved because of