Which Methods Will Result in the Same Income and Shareholders

question 37

Multiple Choice

Which methods will result in the same income and shareholders' equity?

• A)Equity and consolidation
• B)Cost and consolidation
• C)Cost and equity
• D)Each method results in different income and shareholders' equity amounts.

---

Definitions:

Total Amounts

The full quantities or sums reached by counting, calculating, or combining all parts.

Variable Costs Per Unit

Costs that vary directly with the level of production or volume of goods produced, altering according to the amount produced.

Production Increases

Refers to a rise in the quantity of goods and services produced by a company or economy over a certain period.

Break-even Point

The level of production or sales at which total revenues equal total costs, resulting in no net loss or gain.