the income statement, interest revenue is found in     operating revenues and expenses.     other revenues or expenses.     the disposal of a business segment section.     the cost of goods sold section.

Q: Income Statement 1) Why are items such as sales and labour/Gross Profit on the CR side and items…

A: 1.Revenues are recorded in the credit side of the income statement. Thus, sales and labour/gross…

Q: Working Capital. Identify the working capital accounts related to (a) revenues recognized and…

A: Working capital accounts include all the accounts of current assets and current liabilities such as…

Q: true or false: 1. The matching principle states that expenses are recognized when incurred in…

A: Accounting principles are those rules, regulations and policies which are used for accounting,…

Q: 14. Expenses other than cost of goods sold, that are incurred in the entity's major line of business…

A: Since there are multiple questions, we will answer only the first question. If you want the…

Q: Which of the following statements is not true?   Expense is the amount incurred or paid in earning…

A: Expense: Amount spent for running business activities in return for some benefit.

Q: Element of financial position is a)  Cash. b)  Interest

A: This is a multiple-choice question for elements of financial statement in which we have to choose…

Q: Problem 2: An accountant must be familiar with the concepts involved in determining earnings of a…

A: The reasoning for perceiving costs as costs at the hour of item sales depends on the way that a few…

Q: Discuss the relationship between profit and ethics.

A: Ethics:   It is a set of moral principle followed by an individual or a company. It is not same for…

Q: for a relate to (a) operating activities, and (b) nonoperating activities. 18. Identify the sections…

A: Multi Step Income statement is one of the financial statements which shows all type of incomes and…

Q: true or false 10.    The financial manager prepares financial statements that recognize revenue at…

A: Financial statements are the final reports of a company, prepared at the end of a financial period.…

Q: 2.1 Explain the rationale for recognizing costs as expenses at the time of product sale.  2.2 What…

A: Since you have posted a question with multiple subparts, we will solve first three subparts for you…

Q: Accounting treatment of prepaid expenses will be: a. Deducted from assets b. Deducted from the…

A: Prepaid expense is an expense which is paid in advance i.e., before the expense is incurred. As…

Q: 17 - What is the name of the factors that cause an increase in the assets of the business as a…

A: Asset refers to any economic value resource for an individual, corporation or a country. It…

Q: The "Cost of goods sold" account is associated with which of the following major categories? O…

A: The direct cost which is expended for the production of the goods is known as COGS. It includes…

Q: Directions: Read each sentence carefully and determine whether the statement is TRUE or FALSE. Write…

A: ●1.The categories of expenses under the function of expense method includes cost of sales, selling…

Q: Financial Accounting II Questions QUESTION 2 (a)Explain: - the difference between gross profit and…

A: Books of Accounts: Day to day business transactions are required to record by all business…

Q: TRUE or FALSE 1. Companies are required to use two statement approach. 2. The single-step statement…

A: The financial statements of the business includes the income statement and balance sheet.

Q: one - Which of the following is the account group in which the expenses and losses of the business…

A: Extraordinary activities are the income or expense which is derived from a non business activity and…

Q: 10. The income statement's primary purpose is to show the of a business. O A) Financial position. O…

A: Income statement shows the company earned profit or loss for the given period.

Q: Accounting equation is developed based on a. Revenue realization b. Dual aspect c. Money measurement…

A: The accounting equation states that assets equals to total of liabilities and shareholders' equity.

Q: In the statement of profit and loss of common size statement a. Figure of net revenue from…

A: There are various financial analysis statements such as balance sheet or profit and loss statement

Q: When performing vertical analysis of an income statement, the base amount is ________. A sales…

A: Vertical analysis of income statement shows each item of income statement as a percentage of sales…

Q: On the income statement, the result of selling equipment is reported as a(n)     operating revenue…

A: Operating Revenue or Expense :— It is the revenue earned or expenses incurred through its normal…

Q: what is an Income derived from the sale of goods or services in the normal course of business

A: In accounting terminology income is a part part of revenue. Revenue is the gross inflow of cash ,…

Q: 1. The sources of money generated by the sale of products or services. A. Revenue B.Expenses C.Net…

A: Hello. Since your question has multiple parts, we will solve first question for you. If you want…

Q: Which of the following is classified as a selling expense? a. Salaries of salesmen b. Depreciation…

A: Option a is correct.

Q: QUESTION 20 Expenses are incurred and recorded in accounting records in the period when O a. a…

A: Expenses are incurred and recorded in accounting records in the period is  Cash is spent is not…

Q: The value of goods or service sold by a business during a particular period of time is known as ...…

A: Following are the definitions: Income statement: It is the statement that shows the income and…

Q: Revenue are considered to have been earned when:     All possibility of return has expired.…

A: There are two methods of accounting first is the accrual basis of accounting and the second is the…

Q: s, it is termed as ___________________. a. Administration expenses b. Other revenues and expenses c.…

A: If any revenues and expenses which are not related to the sale of products or services regularly…

Q: Name an “economic cost” that is omitted from the accounting income statements that should be of…

A: Economic cost: This cost takes into account both implicit and explicit costs. Explicit costs…

Q: REQUIRED 1. Prepare a spreadsheet. 2. Prepare the following financial statements and schedule: (a)…

A: 1. Prepare a spreadsheet:

Q: What do the following accounting terms and principles mean: Please define and provide an example of…

A: Matching Principle: This principle says to report all related expense and related revenue in the…

Q: What is the financial statement that shows the assets and resources owned by the business at a…

A: The financial statements of the business include income statement, balance sheet and cash flow…

Q: Activity 1. True or False. Write "TRUE" if the statement is correct and "FALSE" if the statement is…

A: An income statement shows the company how much net income has been earned during a period. It also…

Q: Other income is   a. added to operating income. b. deducted from operating income. c. added to gross…

A: Other income is those income which are not earned in normal course of business. It is an income…

Q: Meaning of accounting principles with examples: i. Money measurement concept ii. Dual aspect concept…

A: Accounting principles are the defined rules which are required to be followed by each company and…

Q: Explain five (5) qualitative characteristics of IFRS that is used to prepare financial statements to…

A: Relevance: Relevant financial information is capable of making a difference in the decisions made by…