Your answer is partially correct. Prepare a multiple step income statement. (List other revenues before other expenses.) WOLFORD DEPARTMENT STORE Income Statement For the Year Ended November 30, 2017 , Sales Sales Revenue 1048640 23200 i Less : Sales Returns and Allowances Net Sales 1025440 Cost of Goods Sold D 712588 i Gross Profit 312852 Operating Expenses Freight-Out L 7192 Depreciation Expense 15660 i Insurance Expense 10440 i Advertising Expense 38860 i Rent Expense 39440 i Salaries and Wages Expense 135720 i Utilities Expense 12296 li Total Operating Expenses 259608 i Income From Operations 53244 Other Revenues and Gains ) Gain on Disposal of Plant Assets 2320 Other Expenses and Losses ) Interest Expense 5800 i Income Before Income Taxes 49764 Income Tax Expense 11600 i Net Income /(Loss) 38164 eTextbook and Media List of Accounts Your answer is partially correct. Calculate the profit margin and the gross profit rate. (Round answers to 1 decimal place, e.g. 15.2%) Profit margin 3.7 30.5 % % Gross profit rate eTextbook and Media List of Accounts Your answer is incorrect. The vice president of marketing and the director of human resources have developed a proposal whereby the company would compensate the sales force on a strictly commission basis. Given the increased incentive, they expect net sales to increase by 15%. As a result, they estimate that gross profit will increase by $46,914 and expenses by $67,976. Compute the expected new net income. Then, compute the revised profit margin and gross profit rate. (Ignore income tax effects.) Revised net income Revised profit margin (Round to 1 decimal place, e.g. 15.2%) Revised gross profit rate (Round to 1 decimal place, e.g. 15.2%) eTextbook and Media List of Accounts