CFA Practice Question

There are 534 practice questions for this study session.

CFA Practice Question

The first expense deduction from sales on the multiple-step format of the income statement is ______.

A. cost of goods sold
B. advertising expense
C. depreciation and amortization
Correct Answer: A

The first expense deduction from sales is cost of goods sold, which is also called cost of sales.

User Contributed Comments 2

User Comment
albert2008 Isn't COGS the first deduction for single step as well?
JGoff COGS = Cost Of Goods Sold
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