Comprehensive Income Is

question 87

Multiple Choice

Comprehensive income is:

• A) used to determine earnings per share.
• B) used to determine net income.
• C) not used to determine net income or earnings per share.
• D) used to determine net income or earnings per share.

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Definitions:

Current Assets

Short-term assets that are expected to be converted into cash, sold, or consumed within one year or within the normal operating cycle of the business, whichever is longer.

Book Value Per Share

A financial measure that divides a company's book value by its number of outstanding shares, indicating the equity value per share.

Common Equity

The amount of funds contributed by shareholders plus the retained earnings within a company, representing ownership in the business.

Net Income

The net earnings a company obtains once all costs and taxes are subtracted from its income.