Cartier Custom Homes Inc. manufactures and sells pre-fab homes. These homes are manufactured in a controlled environment to ensure a consistent high quality, which results in greater customer satisfaction. The company sells its homes online and through a network of independent sales agents. On-site installation of the homes is done by independent contractors hired directly by Cartier’s customers.
The following information was taken from Cartier’s financial records for the year ended March 31, 2024:

Required 

a. Prepare a multi-step statement of income for the year ended March 31, 2024, that reports expenses by nature. 

b. Prepare a multi-step statement of income for the year ended March 31, 2024, that reports expenses by function.

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(in thousands of dollars) Administrative expenses Cost of goods sold Other expenses Financing expenses Dividend revenue Income tax expense Sales revenue Architectural activities Research and development activities Sales and marketing activities $ 10,645 1,650,159 1,761 65,125 2,730 167,753 2,671,928 Wages $107,000 5,764 2,596 Rental of Equipment $1,765 6,300 0 Advertising $0 0 3,678 Depreciation $7,252 1,118 500