- CFA Exams
- CFA Exam: Level I 2021
- Study Session 7. Financial Reporting and Analysis (2)
- Reading 21. Understanding Income Statements
- Subject 1. Components and Format of the Income Statement
CFA Practice Question
In multi-step income statement, sales discount is presented in the ______.
A. sales or revenue section
B. cost of goods sold section
C. general/selling expense section
A. sales or revenue section
B. cost of goods sold section
C. general/selling expense section
Correct Answer: A
User Contributed Comments 3
| User | Comment |
|---|---|
| viannie | It's Net revenue or sales therefore we take sales discount into consideration on sales / revenue section |
| ndachie | I agree |
| FinanAhmad | thanks viannie for explanation |