Use the following information to answer the questions given below:
Moon Beam, Inc. has the following income statement (in millions):
| MOON BEAM, INC. |
| Income Statement |
| For the Year Ended December 31, 2008 |
| Net Sales |
$180 |
| Cost of Goods Sold |
120 |
| Gross Profit |
60 |
| Operating Expenses |
33 |
| Net Income |
$ 27 |
1. By using vertical analysis, compute percentage allocated to Cost of Goods Sold?
a. 67%
b. 33%
c. 100%
d. None of the above
2. By using vertical analysis, compute percentage is allocated to Net Income?
a. 100%
b. 85%
c. 15%
d. None of the above