Presented below is information for Jorge Company for the year ended March 31, 2012.
| Cost of goods sold |
$222,770 |
Rent expense |
$35,470 |
| Freight-out |
7,147 |
Sales discounts |
8,229 |
| Insurance expense |
14,820 |
Sales returns and allowances |
13,982 |
| Salary expense |
61,560 |
Sales |
389,740 |
Instructions
(a) Prepare a multiple-step income statement. (List amounts from largest to smallest e.g. 10, 5, 3, 2.)
(b) Compute the gross profit rate. (Round answer to 2 decimal places, e.g. 10.50.)