Which of the Following Statements Is True

Multiple Choice

Which of the following statements is true?

A) It is unnecessary to analyze operating expenses over which management exercises discretion.
B) Impairment charges do not need to be analyzed since they are generally a non-recurring expense.
C) A good way to improve operating profit is to cut repairs and maintenance costs as much as possible.
D) Operating expenses can be easily analyzed by preparing a common-size income statement.