Which of the Following Statements Is True Regarding the Multiple-Step

question 90

Multiple Choice

Which of the following statements is true regarding the multiple-step income statement?

• A)The multiple-step income statement is used only by companies that sell products,not those that provide services.
• B)The multiple-step income statement is helpful in determining a company's working capital.
• C)The multiple-step income statement reports the same net income as the single-step income statement.
• D)The multiple-step income statement is required under generally accepted accounting principles.

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Definitions:

Emotion

A complex psychological state that involves an experience of thought, physiological changes, and an expressive behavior.

Draw Conclusions

to make a judgment or decision based on the evidence or information gathered.

Violating Expectations

The act of not meeting or going against what was anticipated or regarded as likely by others.

Constructing a Message

The process of creating and formulating a communication intended for a specific audience.