The reason you only get 1 element is because to be valid the xml must always have a single outer root node. What is suprising to me is that the second node was just ignored completely and no exception was thrown.
Your xsd represents the following xml
<advice_file/>
To have both elements, you need to write you xsd as follows:
<xs:schema xmlns:xs="http://www.w3.org/2001/XMLSchema" elementFormDefault="qualified">
<xs:element name="myRoot">
<xs:complexType>
<xs:sequence>
<xs:element name="advice_file" type="xs:string"/>
<xs:element name="vendorMerchID" type="xs:string"/>
</xs:sequence>
</xs:complexType>
</xs:element>
</xs:schema>
for the xml structure as:
<myRoot>
<advice_file/>
<vendorMerchID/>
</myRoot>
Alternatively, if your xml is like this:
<advice_file>
<vendorMerchID/>
</advice_file>
Use the xsd:
<xs:schema xmlns:xs="http://www.w3.org/2001/XMLSchema" elementFormDefault="qualified">
<xs:element name="advice_file">
<xs:complexType>
<xs:sequence>
<xs:element name="vendorMerchID" type="xs:string"/>
</xs:sequence>
</xs:complexType>
</xs:element>
</xs:schema>