When a Corporation Has a Discontinued Operation,the Earnings Per Share

question 184

True/False

When a corporation has a discontinued operation,the earnings per share amount includes the effect of the discontinued operation.

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Definitions:

Total Assets

The sum of all current and non-current assets owned by a company, representing its total economic value.

Net Income

The net income of a company, which is calculated by deducting all expenses, taxes, and costs from its total revenue.

Unrecorded Revenues

Earnings generated from business activities that have not yet been documented in the financial accounts.

Adjusting Process

A procedure in accounting to update ledger accounts for accruals, deferrals, prepayments, and estimates so financial statements are accurate.