Under the Equity Method,if an Equity-Method Investment Is Sold at a Gain,the

question 87

Multiple Choice

Under the equity method,if an Equity-Method Investment is sold at a gain,the gain is:

• A)reported as operating revenue on the income statement.
• B)reported on the balance sheet as an adjustment to Accumulated Other Comprehensive Income.
• C)reported in the Other Revenue and Gain section of the income statement.
• D)reported as Other Comprehensive Income on the Statement of Comprehensive Income.

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Definitions:

Mass Number

The total number of protons and neutrons in the nucleus of an atom, representing the atom's mass.

Electronegativity

A chemical property that describes the tendency of an atom to attract a shared pair of electrons towards itself in a covalent bond.

Polarity

A property of having distinct and opposite ends or sides, often seen in molecules with uneven distribution of charges.

Third Energy Level

The third energy level in an atom is the third shell that surrounds the nucleus, where electrons can be found.