Assume Accrual Basis Accounting Is Used

question 119

Multiple Choice

Assume accrual basis accounting is used.Which of the following statements about income statement accounts is correct?

• A)Costs incurred to help generate revenue are only reported as expenses on the income statement if they are paid in cash in the same period as the revenue received.
• B)Revenue accounts are shown after the amount of expense accounts on the income statement.
• C)Revenue accounts include Cash,Accounts Receivable,and Deferred Revenue.
• D)There is no Net Income account.