When Items Are Required to Be Classified as Extraordinary,which of the Following

question 11

Multiple Choice

When items are required to be classified as extraordinary,which of the following is/are not true?

• A) Users of financial statements are able to make more accurate predictions of future performance
• B) Management is able to classify gains as operating income and losses as extraordinary items
• C) It allows managers to misclassify expenses as extraordinary
• D) None; all are true

---

Definitions:

Voice of Management

The ways in which an organization's management communicates with employees, often concerning decision-making, policies, and overall direction.

Human Resource Departments

Organizational units responsible for recruiting, training, and managing employees.

Sustainable Strategies

Approaches in organizational and business planning that focus on long-term success and sustainability by considering environmental, social, and economic impacts.

Employee Development

Activities and programs offered by an organization to improve the skills and competencies of its employees.