El Calculator Multiple-Step Income Statement On March 31, 2049, the balances of the accounts appearing in the ledger of Royal Furnishings Company, a furniture store, are as follows: Accounts Receivable $170,000 Inventory $1,022,350 Accumulated Depreciation-Building 777,150 Notes Payable 327,300 Administrative Expenses 529,650 Office Supplies 20,450 Building 2,380,100 Retained Earnings 1,258,600 Cash 181,350 Salaries Payable 8,350 Common Stock 296,650 Sales 6,374,700 Cost of Goods Sold 3,740,050 Selling Expenses 699,850 Dividends 181.100 Store Supplies 91,100 Interest Expense 10,350 a. Prepare a multiple-step income statement for the fiscal year ended March 31, 2049. Royal Furnishings Company Income Statement For the Year Ended March 31, 2049 Sales Cost of goods sold Gross profit Expenses: Selling expenses Administrative expenses Total expenses Operating income Other expense Interest expense Lan vidto. Calculator Administrative Expenses 529,650 20,450 1,258,600 Building Cash Common Stock 2,380,100 181,350 8,350 Office Supplies Retained Earnings Salaries Payable Sales Selling Expenses Store Supplies 296,650 6,374,700 Cost of Goods Sold 699,850 3,740,050 181,100 Dividends 91,100 Interest Expense 10,350 a. Prepare a multiple-step income statement for the fiscal year ended March 31, 2049 Royal Furnishings Company Income Statement For the Year Ended March 31, 2019 Sales Cost of goods sold Gross profit Expenses Selling expenses Administrative expenses Total expenses Operating income Other expense: Interest expense Net Income b. What is a major advantage of the multiple-step income statement over the single-step income statement? The multiple step income statement shows the relationship of gross profit to sales