The comparative condensed income statements of Marks Corporation are shown below.
Comparative Condensed Income Statements
For the Years Ended December 31
Net sales $620,000 $500,000
Cost of goods sold 450,000 400,000
Gross profit 170,000 100,000
Operating expenses 54,000 40,000
Net income $116,000 $ 60,000
(a) Prepare a horizontal analysis of the income statement data for Marks Corporation using 2013 as a base. (Show the amounts of increase or decrease.)
(b) Prepare a vertical analysis of the income statement data for Marks Corporation in columnar form for both years.