Question #2 Multi-step Income Statement & Gross Margin (8 marks)

On December 31, 2022, the balances of the accounts appearing in the ledger of Mystery Machine Company are as follows:

Administrative Expenses	$290,000	Notes Payable	$29,000
Scooby, Capital	1,258,000	Office Supplies	21,200
Scooby, Withdrawals	60,000	Salaries Payable	5,700
Building	1,020,000	Sales	3,580,000
Cash	95,000	Sales Discounts	40,000
Cost of Goods Sold	1,540,000	Sales Returns and Allowances	120,000
Interest Expense	24,000	Selling Expenses	565,000
Inventory	260,000	Store Supplies	14,000

Required: Prepare a multiple-step income statement for the year ended December 31, 2022 (6)

Calculate the Gross Margin % for Mystery Machine Company (show ALL work), state your answer as a percentage and take to 1 decimal place: (2)