A beginning accounting student has just learned how to prepare an income statement and has been told how valuable it is in the measurement of a company's profitability.However, he asks you, as an upper division accounting student, if there are any limitations to the information contained on the statement.
Required:
Discuss four limitations of the income statement.

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The Answer of A beginning accounting student has just learned how to prepare an income statement and has been told how valuable it is in the measurement of a company's profitability.However, he asks you, as an upper division accounting student, if there are any limitations to the information contained on the statement.
Required:
Discuss four limitations of the income statement.

A Beginning Accounting Student Has Just Learned How to Prepare