Question: Why might a small business owner prepare a GAAP based income statement, even though they use the contribution margin income statement for planning purposes? Select
Why might a small business owner prepare a GAAP based income statement, even though they use the contribution margin income statement for planning purposes? Select answer from the options below The GAAP statement is easier to use when calculating the break-even point. A GAAP based statement is easier to understand. They would not need to prepare both kinds of income statements under any circumstances. They may be seeking financing and need the GAAP statement to provide to their bank
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