A statement of comprehensive income that includes revenue,other income,employee benefits and costs,motor vehicle expenses would have been prepared using the:
A) nature of expense method.
B) narrative method.
C) revenues and gains approach.
D) function of expense approach.

Question

Quizplus · Accepted Answer

The nature of expense method categorizes expenses according to their nature (e.g., employee benefits, motor vehicle expenses) rather than their function within the business. This is in contrast to the function of expense approach, which categorizes expenses according to the business function they serve (e.g., cost of sales, distribution costs).

A Statement of Comprehensive Income That Includes Revenue,other Income,employee Benefits