What is a classified income statement

(1st question) Describe a classified income statement. Be sure to address the classified income statement’s four sections and the important financial relationships found within the statement.

(2nd question) The United States has a capitalistic economy. What is capitalism? Explain how the different inventory valuation methods affect a company’s financial statements. Can the inventory valuation method chosen affect a company’s ability to compete in a capitalistic economy? Please explain.

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