On December 31, 2014, the end of Plymouth Electronics' annual accounting period, the financial statement columns of its work sheet appeared as follows:

Required
1. Prepare a 2014 classified, multiple-step income statement for Plymouth Electronics, like Exhibit 5.15.
2. Prepare a single-step income statement, like Exhibit 5.17.
Analysis Component:
The gross profit ratio for Plymouth Electronics' year ended December 31, 2013, was 32%. Calculate this ratio for the year ended December 31, 2014, and compare it to the prior year, commenting on whether the change was favourable or unfavourable.