dit View History Bookmarks Window Help Aa Aa 3. Preparing a single-step and a multiple-step income statement Income statemerts can be presented using two formats: a single-step statement and a multiplestep statement. The single-step income statement emphasizes an organization's total revenues and total expenses and uses a single caloulation to determine its bottom line (net income) In contrast, the several calculations to provide the reader with important multiple-step income statement groups various revenue and expense accounts and uses subtotals, including the company's gross profit, operating expenses, and earnings before taxes. As a knowledgeable business professional, you'l rarely be able to anticipate which type of income statement you may be required to analyze. For this reason, it is essential that you are familiar with both For example, Hartman Company's end-of-year income statement data is listed in the folowing table. However, its management team would prefer to see the data organized into both a multiple step and a single-step income statement. Balance Cost of goods sold 21.310 17,650 nsurance expense Interest revenue 25,730 17,610 12,450 Sales Miscellaneous selling expense 1 322,810 101 70 ncome tax expense use the data given to construct both the single-step and multiple-step statements in proper form. In each statement, enter the account names by choosing from the selection sts, and enter the appropriate numerical data direct y into the spaces provided. Income statement (single-step Format) For the Year Ended December 31 Expenses MacBook Pro