Which of the Following Is Not Included in Gross Income

question 119

Multiple Choice

Which of the following is not included in gross income when received?

• A)interest received on bank accounts
• B)royalties paid to an author
• C)amounts received to cancel or modify a lease
• D)refundable security deposit

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Definitions:

Operating Segments

Components of a business for which separate financial information is available and is evaluated regularly by the chief operating decision-maker in deciding how to allocate resources and assess performance.

Sales

Transactions where goods or services are exchanged for money, representing a critical source of revenue for businesses.

Segmental Financial Reporting

The practice of reporting financial data for different branches, divisions, or segments of a company to provide insights into individual performance.

Internal And External Revenues

Internal revenues refer to funds generated within an organization, while external revenues are earned from outside the organization’s immediate business operations or entities.