Explain the main differences between the absorption and

Reference no: EM13574085

Explain the main differences between the absorption and contribution (behavioral, variable) income statements. Will net income always be the same under the two approaches? If not, explain the difference.Comment specifically on why companies feel the need to create yet another income statement in a different format. What information can the company gleam from this approach which is helpful as a tool in the decision making process.Explain situations in which break-even analysis can be a useful tool. Provide a specific example.

Reference no: EM13574085

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