Question: In addition to the balance sheet, also construct the income statement for Year 2, including showing subtotals for gross profit, operating profit, and net income, Assume interest expense is $30,000 and the tax rate is 20% on pretax income (you will need to figure out how much of the $450,000 expenses noted above are operating expenses in order to arrive at the correct net income). Assume beginning inventory = ending inventory for the year and use 360 days for calculations where needed.