Answer:
Multiple-step income statement for the year ending December 31, year 1
Sales                           $275,200
Cost of Goods Sold               ($185,000)
Gross Profit                                $90,200
Operating Expenses:
Administrative Expense                      ($35,000)
Selling expenses                           ($55,000)
General Expense                           ($45,000)
Operating Income                           ($44,800)
Non-Operating Revenue                      $105,000
Operating Income before tax                  $60,200
Income taxes                               ($25,000)
Operating Income after Tax                   $35,200
Explanation:
Multi-step Income statement segregate the Operating Income and Expenses from non operating Income and Expense. It shows the gross profit and net operating income separately.
