Which of the Following Is Not True

question 108

Multiple Choice

Which of the following is not true?

• A)Gains (losses) are increases (decreases) in net assets from peripheral or incidental transactions of an entity and from other transactions and events affecting the entity except those that result from revenues (expenses) or investments by (distributions to) owners.
• B)Firms usually report gains and losses from sales of assets or settlements of liabilities at the present value of future cash flows; that is, equal to the difference between the net asset received and the carrying value of the asset sold or between the net asset given and the carrying value of the liability settled.
• C)Gains and losses may arise from the remeasurement of assets and liabilities.
• D)Firms realize gains and losses when they sell or exchange assets or settle liabilities in market transactions.
• E)Firms recognize gains and losses when those items enter the measurement of net income or other comprehensive income.

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Definitions:

Genetically Inherited

Traits or conditions that are passed from parents to their offspring through genes.

Myoglobin

A pigment contained in muscle cells that stores extra oxygen.

Muscle Tissue

A tissue type that is specialized to shorten and elongate.

Plastic Repair

The process of repairing or restoring plastic materials, often involving techniques like welding, filling, or reshaping.