The following information is available for Partin Company:

Sales

$598,000

Sales Returns and Allowances

20,000

Cost of Goods Sold

398,000

Selling Expense

69,000

Administrative Expense

25,000

Interest Expense

19,000

Interest Revenue

20,000

Instructions

(1). Use the above information to prepare a multiple-step incomestatement for the year ended December 31, 2007.

(2). Compute the profit margin ratio and gross profit rate. PartinCompanys assets at the beginning of the year were $770,000, andwere $830,000 at the end of the year. To qualify for full credit,you must state the formula you are using, show your computations,and explain your findings