Reporting Unusual Items Separately on the Income Statement Allows Investors

question 143

True/False

Reporting unusual items separately on the income statement allows investors to isolate the effects of these items on income and cash flows.

---

Definitions:

PO

An abbreviation used in prescriptions, standing for "per os," which is Latin for "by mouth," indicating oral administration.

Tagamet

A brand name for cimetidine, a medication used to treat and prevent certain types of ulcers and to reduce stomach acid.

Gastric Reflux

The backward flow of stomach acid into the esophagus, leading to discomfort and potential damage.

Heartburn

A burning pain in the chest, usually after eating, caused by acid reflux from the stomach into the esophagus.