Which of the Following Items Would Not Be Reported on a Net-Of-Tax

question 101

Multiple Choice

Which of the following items would not be reported on a net-of-tax basis in an entity's financial statements?

• A)a revision in the remaining useful life of depreciable equipment, which is accounted for as a change in accounting estimate
• B)a gain arising from the sale of a component of the business
• C)an adjustment to the financial statements that is accounted for as a prior-period adjustment
• D)a loss that qualifies as an extraordinary item

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Definitions:

Human Capital

The abilities, understanding, and practical experiences that an individual or community has, as seen in their economic or valuable contribution to a corporation or state.

Master's Degree

An advanced academic degree granted by universities, typically after completing a bachelor's degree, demonstrating a mastery of a specific field of study or area of professional practice.

Engineering

The application of scientific principles to design, build, and analyze structures, machines, and systems.

Property Acquisition

The process of obtaining ownership or control over a piece of real estate or other property.