Question

The income statements for Urban Outfits, Inc. are presentedbelow

Urban Outfits, Inc.

Income Statements

Year Ended December 31

 

CurrentYear

Prior Year

  Sales revenue

$

715,985

 

$

770,059

 

  Costof goods sold

 

350,448

 

 

380,254

 

  Gross profit

 

365,537

 

 

389,805

 

  Operating and other expenses

 

121,584

 

 

131,555

 

  Interest expense

 

13,100

 

 

7,100

 

  Income tax expense

 

41,500

 

 

42,600

 

 

 

 

 

 

 

 

  Netincome

$

189,353

 

$

208,550

 

 

 

 

 

 

 

 

Prepare a horizontal analysis of the income statement above.(Round your answers to the nearest wholepercent.)

URBAN OUTFITS, INC

Income Statements

Year Ended December 31

 

 

 

Increase (Decrease)

 

Current Year

Prior Year

Amount

Percent (%)

Sales Revenue

$715,985

$770,059

 

 

Cost of Goods Sold

350,448

380,254

 

 

Gross Profit

365,537

389,805

 

 

Operating and Other Expenses

121,584

131,555

 

 

Interest Expense

13,100

7,100

 

 

Income Tax Expense

41,500

42,600

 

 

Net Income

189,353

208,550