How Is a Disposal of a Segment of the Business

question 32

Multiple Choice

How is a disposal of a segment of the business reported?

• A) separately stated item on the income statement
• B) balance sheet
• C) statement of cash flows
• D) statement of retained earnings

---

Definitions:

Empirical Arguments

Arguments based on observed and recorded evidence.

Replicate

To duplicate or reproduce an experiment, study, or procedure to verify its results.

Empirical Investigation

A research method that relies on direct or indirect observation and experience to gather knowledge or conclusions.

Independent Verification

The process of having a third party check and confirm the accuracy or validity of findings or data to ensure objectivity and reliability.