Prepare income statements showing percentages of net sales

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Reference no: EM13913314

Sigma Company's single-step income statements for 2014 and 2013 follow.

sigma Company Income statements For the Years Ended April 30, 2014 and 2013
Revenues:	2014	2013
Net sales	$1,051,864	$950,528
Interest income	3,600	1,700
Total revenues	$1,055,464	$952,228
Costs and expenses: Cost of goods sold	$ 469,896	$343,700
Selling expenses	323,384	301,400
General and administrative expenses	125,732	84,172
Interest expense	7,200	3,400
Total costs and expenses	$ 926,212	$732,672
Income before income taxes	$ 129,252	$219,556
Income tax expense	15,400	7,200
Net income	$ 113,852	$212,356

Required:

1. Prepare multistep income statements for 2013 and 2014 showing percentages of net sales for each component (e.g., cost of goods sold divided by net sales). (Round percentages to one decimal place.)

2. accounting Connection Did income from operations increase or decrease from 2013 to 2014? Write a short explanation of why this change occurred.

Reference no: EM13913314

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