If an Item Meets One (But Not Both) of the Criteria

question 169

Multiple Choice

If an item meets one (but not both) of the criteria for an extraordinary item, it

• A)only needs to be disclosed in the footnotes of the financial statements.
• B)may be treated as sales revenue (if it is a gain) and as an operating expense (if it is a loss).
• C)is reported as an "other revenue or gain" or "other expense and loss," net of tax.
• D)is reported at its gross amount as an "other revenue or gain" or "other expense or loss."

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Definitions:

Chronic Disease

A long-lasting condition that can be controlled but not cured, often with significant impact on individuals' daily lives.

Susceptibility

The likelihood or predisposition to be affected by a particular condition or disease.

Pneumonia

An inflammatory condition of the lung primarily affecting the microscopic air sacs, caused by infectious agents such as bacteria, viruses, or fungi, leading to symptoms such as cough, fever, and difficulty breathing.

Activity Tolerance

The level of exercise or activity that a person can perform without undue discomfort or risk of complication.