On a Common-Size Income Statement, Net Income Should Be Stated

question 22

Multiple Choice

On a common-size income statement, net income should be stated as a percentage of:

• A) net income.
• B) sales revenue.
• C) gross profit.
• D) total assets.

---

Definitions:

Disenfranchised

Refers to individuals or groups who feel deprived of rights or privileges, often leading to a sense of alienation and disenchantment.

Exaggerated

Something that is overstated or represented more intensely or dramatically than is the actual case.

Masked

Hidden or concealed, often referring to symptoms or conditions that are not immediately apparent or are disguised as something else.

Ambulating

The process of walking or moving about independently.