Multi step income statement: A multiple step income statement refers to the income statement that shows the operating, and non-operating activities of the business, under separate head. In different steps of the multi-step income statement, principal operating activities are reported that starts from the record of sales revenue with all contra sales revenue account like sales returns, allowances and sales discounts. Single step income statement: A single step income statement refers to the simplest form of the income statement which has only one step for calculating net income, subtract total expense from total revenues. All data is separated in only two parts- Revenues and Expenses. Comprehensive income statement: A Comprehensive income statement refers to that form of the income statement which includes other comprehensive income items (unrealized losses and gains due to adjusting entries ) in net income to compute comprehensive income. To Prepare: (a) Multiple-Step Income Statement, (b) Single step income statement, and (c) Comprehensive Income Statement.

Question

Want to see the full answer?

Answer 1

Question

Chapter 5, Problem 5.10E

To determine

Multi step income statement:

A multiple step income statement refers to the income statement that shows the operating, and non-operating activities of the business, under separate head. In different steps of the multi-step income statement, principal operating activities are reported that starts from the record of sales revenue with all contra sales revenue account like sales returns, allowances and sales discounts.

Single step income statement:

A single step income statement refers to the simplest form of the income statement which has only one step for calculating net income, subtract total expense from total revenues. All data is separated in only two parts- Revenues and Expenses.

Comprehensive income statement:

A Comprehensive income statement refers to that form of the income statement which includes other comprehensive income items (unrealized losses and gains due to adjusting entries) in net income to compute comprehensive income.

To Prepare: (a) Multiple-Step Income Statement, (b) Single step income statement,

and (c) Comprehensive Income Statement.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Students have asked these similar questions

Get correct answer this financial accounting question

Oriole Company incurs a cost of $34 per unit, of which $19 is variable, to make a product that normally sells for $59. A foreign wholesaler offers to buy 5,200 units at $31 each. Oriole will incur additional costs of $1 per unit to imprint a logo and to pay for shipping. Compute the increase or decrease in net income Oriole will realize by accepting the special order, assuming Oriole has sufficient excess operating capacity. (Enter negative amounts using either a negative sign preceding the number (e.g., -45) or parentheses (e.g., (45)).) Revenues $ Costs Net income $ Reject Accept Increase (Decrease) $ $ Should Oriole Company accept the special order? $ $ Oriole Company should ▾ the special order.

Please give me correct answer this general accounting question