Which of the Following Items Appears on the Income Statement

question 31

Multiple Choice

Which of the following items appears on the income statement before Income before income taxes?

• A)Other comprehensive income
• B)Comprehensive income
• C)Other revenues and gains
• D)Discontinued operations

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Definitions:

Arm's Length

A transaction conducted between parties who are independent and on an equal footing, ensuring that no special advantages are given to any of the parties involved due to personal relationships.

Fraud

Intentionally misleading someone to obtain an unjust advantage or to strip someone of their lawful entitlement.

Arm's Length Transaction

A transaction where the buyers and sellers of a product act independently and have no relationship to each other, ensuring that the deal is conducted fairly and without any conflict of interest.

Special Duties

Obligations that are unique to certain relationships or positions, often implying a higher standard of conduct.