The Major Elements of the Income Statement Are

question 53

Multiple Choice

The major elements of the income statement are

• A) revenue, cost of goods sold, selling expenses, and general expense.
• B) operating section, nonoperating section, discontinued operations and cumulative effect.
• C) revenues, expenses, gains, and losses.
• D) All of these.

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Definitions:

Monopoly Power

The ability of a single seller to control the market for a good or service, setting prices and output levels.

Government Licensing

A control mechanism whereby a government authority grants permission to individuals or companies to operate within certain industries or professions.

Price Regulation

Governmental policies or laws set to control or limit the prices charged for goods and services in the market to protect consumers and promote fairness.

Marginal Costs

The rise or fall in the overall expense associated with manufacturing an extra piece in a production sequence.