Popson Inc

question 85

Multiple Choice

Popson Inc.incurred a material loss which was not unusual in character,but was clearly an infrequent occurrence.This loss should be reported as:

• A)An extraordinary loss.
• B)A loss from discontinued operations.
• C)Other revenues and expenses.
• D)A separate line item in retained earnings.

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Definitions:

Internal Control

Systems and procedures implemented by a company to ensure integrity in financial reporting, compliance with laws and regulations, and effectiveness in operations.

Internal Control

A system of policies, procedures, and measures designed to protect assets, ensure accurate financial reporting, compliance with laws and regulations, and achieve effective and efficient operations.

Safeguarded Assets

Assets that are protected against loss, theft, or unauthorized use through various security measures and controls.

Accurate Business Information

Reliable, precise, and up-to-date data or facts about a company's operations, financials, and strategy, crucial for decision-making.