Based on the data presented in Exercise 6-8, journalize the closing entries.

Data From Exercise 6-8:

On December 31, 2012, the balances of the accounts appearing in the ledger of Warm Place Furnishings Company, a furniture wholesaler, are as follows:

                    

a. Prepare a multiple-step income statement for the year ended December 31, 2012.
b. Compare the major advantages and disadvantages of the multiple-step and single-step forms of income statements.