Which of the Following Is NOT an Example of a Difference

Multiple Choice

Which of the following is NOT an example of a difference between the income statement of a service organization and the income statement of a manufacturing organization?

A) A service company will never have work in process.
B) The service company will not have a finished goods inventory.
C) Fulfillment costs may be added to cost of goods sold of a service company.
D) Research and development expenses are not usually a major component of a service organization.