Multiple$-$Step Income Statement

On March $31,20$Y$4,$ the balances of the accounts appearing in the ledger of Danns Furnishings Company, a furniture wholesaler, are as follows:

Accumulated Depreciation$$Building $$742,100$ Merchandise Inventory $$933,800$

Administrative Expenses $553,300$ Notes Payable $245,150$

Building $2,494,000$ Office Supplies $19,800$

Cash $183,100$ Salaries Payable $7,950$

Cost of Merchandise Sold $3,616,100$ Sales $6,610,100$

Interest Expense $10,350$ Selling Expenses $711,100$

Kathy Melman, Capital $1,536,700$ Store Supplies $94,300$

Kathy Melman, Drawing $176,300$

Question Content Area

a$.$ Prepare a multiple$-$step income statement for the year ended March $31,20$Y$4.$

Danns Furnishings Company

Income Statement

For the Year Ended March $31,20$Y$4$

$$-$ Select $-$

$-$ Select $-$

Gross profit $fill in the blank $2$c$5$a$0$f$01$a$04$dfec$\_5$

Expenses:

$$-$ Select $-$

$-$ Select $-$

Total expenses fill in the blank $2$c$5$a$0$f$01$a$04$dfec$\_10$

$$-$ Select $-$

Other expense:

$-$ Select $-$

$$-$ Select $-$

Question Content Area

b$.$ What is a major advantage of the multiple$-$step income statement over the single$-$step income statement?

Check My Work$3$ more Check My Work uses remaining.