Which of the following is not a drawback of the single-step income statement?
A) It does not separate operating and non-operating items.
B) It combines revenues and gains without classification.
C) It does not classify expenses by function.
D) It misstates net income due to oversimplification.

Question

Quizplus · Accepted Answer

The single-step income statement does not misstate net income; it simply presents it in a straightforward manner without detailed breakdowns. The other options are drawbacks related to the lack of detailed classification.

Which of the Following Is Not a Drawback of the Single-Step