A Review of the December 31, 2006, Financial Statements of a Corporation

question 64

Multiple Choice

A review of the December 31, 2006, financial statements of a corporation revealed that under the caption "Exceptional and infrequent losses," a total of $130,000 was reported. Further analysis revealed that the $130,000 in losses was comprised of the following items:
(1) A loss of $25,000 incurred in the abandonment of equipment formerly used in the business.
(2) An unusual and infrequent occurrence, a loss of $37,500 was sustained as a result of damage to a warehouse by a falling meteorite.
(3) During 2006, several factories were shut down during a major strike by employees. Shutdown expenses totalled $60,000.
(4) Uncollectible accounts receivable of $7,500 were written off as uncollectible.
(5) Foreign exchange - translation gains: $10,000
(6) Decline in market value of Available-for-sale securities: $15,000
Ignoring income taxes, what amount would be shown as Other Comprehensive Income (Loss) on the statement of Comprehensive Income?

• A) ($5,000)
• B) $10,000
• C) $15,000
• D) $130,000

---

Definitions:

Extraversion

Extraversion refers to a personality trait characterized by sociability, talkativeness, assertiveness, and high levels of emotional expressiveness.

Outgoing, Sociable, Assertive

Characteristics of individuals who are open, enjoy interacting with others, and are proactive in expressing their opinions and desires.

Degree

A unit of measurement of angles or a level of achievement in education, often awarded after completing a course of study.

Projection

The psychological transfer of one's own feelings, thoughts, or attributes onto another person or object.