n March 31, 2019, the balances of the accounts appearing in the ledger of Racine Furnishings Company, a furniture wholesaler, are as follows:

Accumulated Depreciation-Building	$ 300,000
Administrative Expenses	216,000
Building	1,000,000
Cash	70,000
Cost of Merchandise Sold	1,520,000
Interest Expense	4,000
Kathy Melman, Capital	634,800
Kathy Melman, Drawing	70,000
Merchandise Inventory	$ 392,000
Notes Payable	100,000
Office Supplies	8,000
Salaries Payable	3,200
Sales	2,564,000
Selling Expenses	286,000
Store Supplies	36,000

Labels
For the Year Ended March 31, 2019
March 31, 2019
Operating expenses
Other revenue and expense
Amount Descriptions
Gross profit
Income from operations
Net income
Net loss
Total assets
Total liabilities
Total operating expenses
Total owners equity

	Required:
a.	Prepare a multiple-step income statement for the year ended March 31, 2019. Be sure to complete the heading of the statement. Refer to the list of Labels and Amount Descriptions provided for the exact wording of the answer choices for text entries. A colon (:) will automatically appear if it is required.
b.	What is a major advantage of the multiple-step income statement over the single-step income statement?