Which of the Following Items on the Income Statement Is

question 35

Multiple Choice

Which of the following items on the income statement is not disclosed net of tax?

• A) unusual or infrequent item disclosed separately
• B) discontinued operations
• C) extraordinary loss
• D) cumulative effect of change in accounting principle
• E) unusual or infrequent item disclosed separately and discontinued operations are both not disclosed net of tax

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Definitions:

Produce Pencils

The process of manufacturing pencils, which involves material selection, processing, and assembly.

Work in Process Inventory

Inventory that includes goods that are in the process of being manufactured but are not yet completed.

Job Cost Sheets

Documents used to record and track the expenses associated with a specific job or project, including materials, labor, and overhead costs.

Direct Materials

Raw materials that are directly used in the manufacturing of a product, easily traceable to the goods being produced.