For this assignment, students will prepare a Multi-Step Income Statment based upon the example on Exhibit 9-7 on page 338 in the textbook.

1) Click on the Link, Sample Single-Step Income Statement.

2) Using a Word document or Excel spreadsheet, create a Multi-Step Income Statement from the data on the Sample Single-Step Income Statement.

Exhibit 9-7 Income Statement Format Alternatives I. Single-step format: CRUISERS INC. AND SUBSIDIARIES Consolidated Income Statement For the Years Ended August 31, 2020 and 2019 (000 omitted) 2020 2019 Net sales $77,543 $62,531 Cost of goods sold 48,077 39,870 Selling expenses 13,957 10,590 General and administrative expenses 9,739 8,191 Interest expense 3,378 2,679 Other income, net 385 193 Income before taxes $ 2,777 $ 1,394 Provision for income taxes 1,250 630 Net income $ 1,527 $ 764