Answer:
McDade Company
Comparative Income Statement
For the Years Ended December 31, 2012 and 2011
2012 2011 Change %
Sales $16,800,000 $15,000,000 $1,800,000 12%
COGS ($11,500,000) ($10,000,000) $1,500,000 15%
Gross profit $5,300,000 $5,000,000 $300,000 6%
Selling expenses ($1,770,000) ($1,500,000) $270,000 18%
Adm. expenses ($1,220,000) ($1,000,000) $220,000 22%
Operating exp. ($2,990,000) ($2,500,000) $490,000 19.6%
Operating income $2,310,000 $2,500,000 ($190,000) -7.6%
Other revenue $256,950 $225,000 $31,950 14.2%
EBT $2,566,950 $2,725,000 ($158,050) -5.8%
Income taxes ($1,413,000) ($1,500,000) ($87,000) -5.8%
Net income $1,153,950 $1,225,000 ($71,050) -5.8%
