Using the data provided below, determine whether the income statement will be formatted by "function of expense" or by "nature of expense." Briefly explain your response.
$\begin{array}{l|r}
\text { Distribution expense } & 65,000 \
\hline \text { Cost of goods sold } & 100,000 \
\hline \text { General and administrative expense } & 45,000 \
\hline \text { Warehousing expense } & 20,000 \
\hline \text { Interest expense } & 5,000
\end{array}$

Question

Using the data provided below, determine whether the income statement will be formatted by "function of expense" or by "nature of expense." Briefly explain your response.
 $\begin{array}{l|r}
\text { Distribution expense } & 65,000 \
\hline \text { Cost of goods sold } & 100,000 \
\hline \text { General and administrative expense } & 45,000 \
\hline \text { Warehousing expense } & 20,000 \
\hline \text { Interest expense } & 5,000
\end{array}$

Quizplus · Accepted Answer

The Answer of Using the data provided below, determine whether the income statement will be formatted by "function of expense" or by "nature of expense." Briefly explain your response.
 $\begin{array}{l|r}
\text { Distribution expense } & 65,000 \
\hline \text { Cost of goods sold } & 100,000 \
\hline \text { General and administrative expense } & 45,000 \
\hline \text { Warehousing expense } & 20,000 \
\hline \text { Interest expense } & 5,000
\end{array}$

Using the Data Provided Below, Determine Whether the Income Statement