Which of the following statements concerning the multiple-step income statement is false?
A)The multiple-step income statement provides a subtotal of Income before Income Tax Expense.
B)Income from Operations is the amount of revenues minus expenses from the company's main business activities.
C)Any revenue and/or expense from activities other than the company's main business are peripheral results and are included in Income from Operations.
D)Income before Income Tax Expense and Income from Operations are different if there are any peripheral revenues and expenses.

Question

Quizplus · Accepted Answer

This statement is false because any revenue and/or expense from activities other than the company's main business are not included in Income from Operations. They are reported separately as either other revenues or gains or other expenses or losses.

Which of the Following Statements Concerning the Multiple-Step Income Statement