Asked by Aneri Patel on May 09, 2024
Verified
The form of income statement that derives its name from the fact that the total of all expenses is deducted from the total of all revenues is called a
A) multiple-step statement
B) revenue statement
C) report-form statement
D) single-step statement
Single-step Statement
A simple form of income statement that calculates net income by subtracting total expenses from total income in one step.
Multiple-step Statement
An income statement that separately reports operating and non-operating activities, making it easier to understand the financial results.
Income Statement
A financial statement that shows a company's revenue and expenses over a specific period, revealing net profit or loss.
- Understand the structure and purpose of different types of income statements.
Verified Answer
UV
Umeira VijendraMay 12, 2024
Final Answer :
D
Explanation :
The form of income statement that deducts total expenses from total revenues in one step is called a single-step statement. The other options, such as multiple-step statement, revenue statement, or report-form statement, do not necessarily follow this format.
Learning Objectives
- Understand the structure and purpose of different types of income statements.