Asked by jimiesha archie on Jul 25, 2024
Verified
The single-step income statement is easier to prepare, but a criticism of this format is that gross profit and income from operations are not readily available.
Single-Step Income Statement
A form of income statement in which the total of all expenses is deducted from the total of all revenues.
Gross Profit
The difference between sales revenue and the cost of goods sold before deducting overheads, taxes, interest, and depreciation.
Income From Operations
Earnings generated from a company's regular business activities, excluding deductions of interest and tax.
- Identify the differences between single-step and multiple-step income statements and their components.
Verified Answer
Learning Objectives
- Identify the differences between single-step and multiple-step income statements and their components.
Related questions
In a Multiple-Step Income Statement, the Dollar Amount for Income ...
In the Merchandising Income Statement, Sales Will Be Reduced by ...
Explain the Difference Between the Single-Step and Multiple-Step Income Statements
Which Statement Is Not Correct About Expenses on the Statement ...
Which of the Following Is Not a True Statement About ...