What would generally NOT be found on the income statement of a service organization?
A) net sales
B) selling expenses
C) operating income
D) cost of goods sold

Question

Quizplus · Accepted Answer

Cost of goods sold is a term used in the income statement to refer to the cost of producing goods sold, which is not relevant to service organizations as they do not produce goods. Instead, they provide services. Therefore, cost of goods sold would not be found on the income statement of a service organization.

What Would Generally NOT Be Found on the Income Statement