Income from continuing operations includes
A)gain on the sales of used equipment that is replaced in the current year.
B)loss from a discontinued operation.
C)loss from an earthquake.
D)gain on a change in accounting principle.
E)loss resulting from prohibitions under new regulations.

Question

Quizplus · Accepted Answer

Income from continuing operations refers to the revenue generated by a company's ongoing, regular business activities. Option A, gain on the sale of used equipment that is replaced in the current year, falls under this category because it is a result of a regular business transaction. Options B, C, D, and E are not included in income from continuing operations because they involve one-time events or situations that do not relate to the ongoing business operations of the company.

Income from Continuing Operations Includes