Mariner Designs, Inc.: 2012:
Net sales revenue.............431,000
Expenses:
Cost of goods sold...............200,000
Selling and general expenses............99,000
Other expenses.........8350
Total expenses.........307,350
Net income..........................123,650
2011:
Net sales revenue......................372,350
Expenses:
Cost of goods sold........................187,550
Selling and general expenses...................91,050
Other expense...................6,850
Total expenses.......................285,450
Net income..........................86,900
1. Prepare a comparative common-size income statement for Mariner Designs, Inc., using the 2012 and 2011 data. Round percentages to one-tenth percent (three decimal places).
2. To an investor, how does 2012 compare with 2011? Explain your reasoning.