To see each answer, press or click on the blue "Unscramble" button. If you have difficulty answering the following questions, learn more about this topic by reading our Income Statement (Explanation).
4. The __________ basis of accounting is better than the cash basis for measuring profitability in a limited time period.
ACCRUAL LAAURCC6. At the end of the accounting year, income statement accounts are ______________.
CLOSED OCDSEL8. Selling, general and administrative (SG&A) expenses are referred to as _____________ expenses.
OPERATING RGOTIEAPN9. The heading of the income statement discloses the _________ of time covered.
PERIOD PEORID10. An accounting year beginning on July 1 and ending on June 30 is referred to as a _________ year.
FISCAL AILSFC11. Earnings per share must be reported on the income statement when a corporation's stock is publicly ___________.
TRADED ETRADD13. On a multiple-step income statement, interest expense is reported as a ________________ or other expense.
NONOPERATING ARPTGONONENI14. The elimination of an entire subsidiary of a corporation will result in reporting an amount on the income statement described as _______________ operations.
DISCONTINUED NOUDISDETCIN15. If a corporation sells a plant asset for less than its ___________ value, the difference will be reported as a loss on the income statement.
CARRYING ANIRCRGY16. The income statement is also known as the statement of ____________.
OPERATIONS TEOOPSNIRA17. The largest expense on a retailer's income statement is usually its _____ of goods sold.
COST TOCS18. Accrual accounting requires that expenses be __________ with revenues.
MATCHED HEDMCAT19. Changes in accounting ___________ such as depreciation are not viewed as errors.
ESTIMATES TMSIAEEST20. The few gains or losses that are not included in net income will be reported as part of other _____________________ income.
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