Which of the Following Formats Is Typically Used in Year-To-Date

question 43

Multiple Choice

Which of the following formats is typically used in year-to-date income statements prepared for internal use under a responsibility accounting system?

• A) Sales - Cost of Goods Sold = Gross Margin; Gross Margin - Operating Expenses = Net Income
• B) Sales - Manufacturing Costs = Manufacturing Margin; Manufacturing Margin - Selling and Administrative Costs = Net Income
• C) Sales - Variable Costs = Contribution Margin; Contribution Margin - Fixed Costs = Net Income
• D) None of these answers are correct.

---

Definitions:

Rock Springs Massacre

A violent racial conflict that occurred in 1885 in Rock Springs, Wyoming, where white coal miners killed numerous Chinese miners, highlighting racial tensions in the American West.

Chinese Immigrants

Individuals from China who move to another country, often for reasons including economic opportunity, education, or to escape political instability.

Racist Attitudes

Prejudiced beliefs or discriminatory behaviors based on race or ethnicity, often resulting in unequal treatment or social injustice.

William H. Seward

A prominent figure in American politics in the 19th century, known for his role as Secretary of State under Abraham Lincoln and Andrew Johnson, and for his purchase of Alaska from Russia, an act often termed "Seward's Folly."