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$$Building $$785,350$ Merchandise Inventory $$951,200$

Administrative Expenses $560,100$ Notes Payable $251,150$

Building $2,447,050$ Office Supplies $20,200$

Cash $173,800$ Salaries Payable $8,100$

Cost of Merchandise Sold $3,918,750$ Sales $6,576,350$

Interest Expense $9,950$ Selling Expenses $735,300$

Kathy Melman, Capital $1,511,350$ Store Supplies $89,100$

Kathy Melman, Drawing $177,350$

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 $9576$b$7$ff$5$f$86042\_5$

Expenses:

$$-$ Select $-$

$-$ Select $-$

Total expenses fill in the blank $9576$b$7$ff$5$f$86042\_10$

$$-$ 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?