Companies are NOT allowed to combine the income statement and the statement of retained earnings, but must show them as two separate reports.

Question

Quizplus · Accepted Answer

Companies are allowed to combine the income statement and the statement of retained earnings into one report called the statement of comprehensive income. This report shows the net income or loss for the period, other comprehensive income, and the resulting total comprehensive income.

Companies Are NOT Allowed to Combine the Income Statement and the Statement