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Attached is the income statement for a casino. Three years are presented 2007-2009. You will notice they have two line items for Revenue ("sales"), use the combined figure if you need it (for example, for 2009, Revenue would be $232,799,000 (note you add three zeros as the statement says at the top "in thousands").

Using the technique of "common-sized analysis" discuss how well or badly the casino controlled two expense items: "Gaming" and "General & administrative".

Calculations need to be shown

Years ended December 31, 2008 2009 - 2007 Revenues: Gaming Other operating $219,878 $213,855 18,944 232.799 19.254 $224.760 17.606 242.366 239.132 Expenses: Gaming Other operating ............... General and administrative. Impairment charge Depreciation.... 169,360 16.101 6,317 166,040 15,268 6,319 175,785 14,758 6,678 2.177 11.939 211.337 7.843 10.849 202.627 195,470 Operating earnings. 21,462 36,505 46.896 Interest expense .............. 2.376 3.484 2.741 Earnings before income taxes......... 19,086 33,021 44.155 Income taxes. 7.809 13.510 18.070 Net earnings 11,277 19.511 26.085 Unrealized loss on interest rate swap, net of income taxes........ (110)