The CVP Income Statement

question 48

Multiple Choice

The CVP income statement

• A) is distributed internally and externally.
• B) classifies costs by functions.
• C) discloses contribution margin in the body of the statement.
• D) will reflect a different net income than the traditional income statement.

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Definitions:

Instinctive Behavior System

A set of inborn behavioral patterns that are triggered by specific environmental stimuli.

Fixed Action Patterns

Innate, pre-programmed responses triggered by specific stimuli, exhibited by animals.

Innate Releasing Mechanism

A hypothetical mechanism in the brain considered to be triggered by specific stimuli, leading to certain patterns of behavior.

Social Releaser

A stimulus originating from one individual that triggers a social response or behavior in another individual.