A Loss on Disposal of a Segment Would Be Reported

question 141

Multiple Choice

A loss on disposal of a segment would be reported in the income statement as a(n)

• A) administrative expense
• B) other expense
• C) deduction from income from continuing operations
• D) selling expense

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Definitions:

Financial Statement

A report in written form that provides a quantitative analysis of a corporation's financial status, encompassing the balance sheet, income statement, and cash flow statement.

Temporary/Permanent

In accounting, this distinction refers to how certain accounts (temporary) close at the end of a fiscal period, while others (permanent) carry their balances forward.

Account Balance

The difference between the debits and credits recorded in an account.

Financial Statement

A precise documentation of monetary activities and the financial state of a corporation, a person, or another entity.