In distinguishing between revenues and gains, which of the following statements is not true?
A)More gains than revenues are beyond the entity's control.
B)Gains are associated more with peripheral, nonoperating activities than are revenues.
C)GAAP does not provide precise distinctions between revenues and gains.
D)Revenues are reported net (rather than gross)more often than gains.

Question

Quizplus · Accepted Answer

Revenues are typically reported gross, not net, which means the total amount of sales or income generated by the company is reported before any deductions. Gains, on the other hand, might be reported in a manner that reflects the net benefit to the company, but the distinction in the question is incorrect regarding how revenues are more often reported compared to gains.

In Distinguishing Between Revenues and Gains, Which of the Following