Which of the following statements reports the line item Gross profit?
A)the single-step income statement
B)the multistep income statement
C)the single-step balance sheet
D)the multistep balance sheet

Question

Quizplus · Accepted Answer

Gross profit is reported in the multistep income statement, which separates operating expenses from other revenues and gains. The other options (A, C, and D) are incorrect as they do not include a section for calculating gross profit.

Which of the Following Statements Reports the Line Item Gross