The Income Statement Line Item Most Likely Affected by an AIS

question 53

Multiple Choice

The income statement line item most likely affected by an AIS investment in enterprise systems would be:

• A)Revenues.
• B)Cost of Goods Sold.
• C)Selling,General and Administrative Expenses.
• D)Unearned Revenue.

---

Definitions:

Expenses

Costs incurred by a business in the process of earning revenues, including operational costs, rent, utilities, and employee salaries.

Comprehensive Business Reporting

A holistic approach to reporting that combines financial, social, and environmental performance indicators to give stakeholders a more complete view of a company's activities and impact.

CFA

Chartered Financial Analyst, a professional designation given by the CFA Institute to finance and investment professionals.

Joint Conceptual Framework

A collaborative effort among accounting standards boards to establish a common conceptual foundation for the development of accounting standards.