The income statement prepared for external reporting is
A)based on a functional classification.
B)referred to as absorption-costing income.
C)called full-costing income.
D)all of the above.

Question

Quizplus · Accepted Answer

The income statement prepared for external reporting can be based on a functional classification, referred to as absorption-costing income, or called full-costing income. These terms reflect different aspects or methods related to how costs and revenues are classified and reported in financial statements for external purposes.

The Income Statement Prepared for External Reporting Is