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).
1. Amounts earned through a company's main activities. | REVENUES SNUREEEV | Unscramble |
2. A retailer's revenues. | SALES SSLEA | Unscramble |
3. Costs used up in order to earn revenues. | EXPENSES SXNEESPE | Unscramble |
4. The __________ basis of accounting is better than the cash basis for measuring profitability in a limited time period. | ACCRUAL URLACAC | Unscramble |
5. The expense associated with debt. | INTEREST SITTEREN | Unscramble |
6. At the end of the accounting year, income statement accounts are ______________. | CLOSED ODSLCE | Unscramble |
7. Sales minus the cost of goods sold is gross _________. | PROFIT FRTIPO | Unscramble |
8. Selling, general and administrative (SG&A) expenses are referred to as _____________ expenses. | OPERATING NPATROEIG | Unscramble |
9. The heading of the income statement discloses the _________ of time covered. | PERIOD RDIPOE | Unscramble |
10. An accounting year beginning on July 1 and ending on June 30 is referred to as a _________ year. | FISCAL LISAFC | Unscramble |
11. Earnings per share must be reported on the income statement when a corporation's stock is publicly ___________. | TRADED DEDTAR | Unscramble |
12. An increase in net assets from a peripheral activity. | GAIN ANGI | Unscramble |
13. On a multiple-step income statement, interest expense is reported as a ________________ or other expense. | NONOPERATING TOREPAINGONN | Unscramble |
14. The elimination of an entire subsidiary of a corporation will result in reporting an amount on the income statement described as _______________ operations. | DISCONTINUED IOUTSENDCDN | Unscramble |
15. 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 YRRACING | Unscramble |
16. The income statement is also known as the statement of ____________. | OPERATIONS STAINROPEO | Unscramble |
17. The largest expense on a retailer's income statement is usually its _____ of goods sold. | COST TCSO | Unscramble |
18. Accrual accounting requires that expenses be __________ with revenues. | MATCHED DETACHM | Unscramble |
19. Changes in accounting ___________ such as depreciation are not viewed as errors. | ESTIMATES SEMITATES | Unscramble |
20. A foreign currency translation adjustment is one example of an item that is not included in net income and will instead be reported as part of other _____________________ income. | COMPREHENSIVE VISORNEEMECHP | Unscramble |
Want more practice questions?
Receive instant access to our graded Quick Tests (more than 1,800 unique test questions) when you join AccountingCoach PRO.
We now offer 10 Certificates of Achievement for Introductory Accounting and Bookkeeping. The certificates include Debits and Credits, Adjusting Entries, Financial Statements, Balance Sheet, Income Statement, Cash Flow Statement, Working Capital and Liquidity, Financial Ratios, Bank Reconciliation, and Payroll Accounting. Click here to learn more.