A Company's Sales and Production Levels Are the Same

question 41

Multiple Choice

A company's sales and production levels are the same.The amount of income presented on a contribution margin format income statement

• A)will always be greater than that shown on a traditional GAAP income statement.
• B)will always be less than that shown on a traditional GAAP income statement.
• C)will always be the same as that shown on a traditional GAAP income statement.
• D)will not differ from that shown on a traditional GAAP income statement regardless of the level of production and sales.

---

Definitions:

Private Placement

The sale of securities to a relatively small number of select investors as a way of raising capital.