The Account Unrealized Gain on Trading Investments Should Be Included

question 56

Multiple Choice

The account Unrealized Gain on Trading Investments should be included on the

• A) income statement as other revenue (expense)
• B) balance sheet as an adjustment to the asset account
• C) balance sheet as an adjustment to stockholders' equity
• D) statement of stockholder's equity

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Definitions:

Civil Penalties

Civil penalties are financial charges levied by a governmental agency as punishment for violations of legal regulations or statutes.

Resource Conservation and Recovery Act Permit

A permit required under the Resource Conservation and Recovery Act (RCRA) for certain operations that generate, treat, store, or dispose of hazardous waste.

Precautionary Principle

A strategy to cope with possible risks where scientific understanding is yet incomplete, prioritizing the prevention of harm when making decisions.

Regulatory Scheme

A system of regulations established by governments or regulatory bodies to control or govern specific activities, industries, or behaviors.