Overall analysis of income statement accounts may bring to light errors,omissions,and inconsistencies not disclosed in the overall analysis of balance sheet accounts.The income statement analysis can best be accomplished by comparing monthly

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To analyze the income statement, it is best to compare revenue and expense account totals to the corresponding figures of the preceding years. This will help identify any changes in revenue or expense patterns that may indicate errors or inconsistencies. Comparing income statement ratios to published industry averages or balance sheet ratios may also be useful in identifying issues, but a comparison to previous years' data is the best starting point. Option B is not ideal as comparing revenue and expense account balances to the monthly reported net income may not reveal any errors or inconsistencies.

Overall Analysis of Income Statement Accounts May Bring to Light