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Assume that Corbin Enterprises classifies all operating expenses into two categories: ( 1 ) selling and ( 2 ) general and administrative. The following income

 Assume that Corbin Enterprises classifies all operating expenses into two categories: (1) selling and (2) general and administrative. The following income statement items, arranged in alphabetical order, are taken from the records of Corbin Enterprises for the current year: N$ N$ Advertising expenses 9,000 Rent expense - office 26,400 Cost of goods sold 150,000 Rent expense - Sales person's car 18,000 Depreciation expense - computer 4,500 Sales revenue 350,000 Dividend revenue 2,700 Supplies expense - Office 1,300 Income tax expense 30,700 Utilities expense 6,750 Interest expense 1,900 Wage expense - office 45,600
1. Prepare a multiple-step income statement for the current year using these balances.
2. What advantages do you see in this form for the income statement compared to the single step income statement
3. Compute Corbins profit margin.

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