S1 - Net income remains the same when revenue is treated as other income, additional revenue, deduction from cost of goods sold, or as deduction from production cost of main product. S2 - In the reversal cost method, the manufacturing cost of the main product is reduced by the actual revenue from the by products. a. Only S1 is true b. Only S2 is true c. Both S1 & S2 are true d. Both S1 & S2 are false

S1 - Net income remains the same when revenue is treated as other income, additional revenue, deduction from cost of goods sold, or as deduction from production cost of main product. S2 - In the reversal cost method, the manufacturing cost of the main product is reduced by the actual revenue from the by products. a. Only S1 is true b. Only S2 is true c. Both S1 & S2 are true d. Both S1 & S2 are false

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter6: Merchandising Transactions

Section: Chapter Questions

Problem 22MC: A simple income statement ________. A. combines all revenues into one category B. does not combine...

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