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The following summarized data were provided by the records of Mystery Incorporated for the year ended December 31:
Office Expense $ 19,200
Cost of Goods Sold 167,000
Income Tax Expense 18,350
Sales Returns and Allowances 7,170
Salaries and Wages Expense 41,000
Sales of Merchandise on Cash 244,000
Sales of Merchandise for Credit 42,800
Required:
1. Prepare a multistep income statement.
2. What was the amount of gross profit?
3. What was the gross profit percentage? (Round your answer to 1 decimal place.)

You work as the sales manager for a company that sells office supplies to businesses of all sizes. because the profit margins are razor-thin, you need to ensure that you are getting the very best prices on paper, pencils, pens, post-it notes, and other office supplies from the manufacturers. when reviewing the quarterly profit statement, you realize that your costs are higher than they should be, and you trace the higher costs back to an employee who has been lax about getting competitive bids to ensure the lowest prices. when you conduct your research to determine the reason for the higher costs, and take action to bring those costs back down, in which of the key management processes are you taking part?