Under IFRS, the statement of comprehensive income can be prepared under
A) the one-statement approach only.
B) the two-statement approach only.
C) either the one-statement approach or the two-statement approach.
D) either the two-statement approach or the stockholders' equity statement approach.

Question

Quizplus · Accepted Answer

Under IFRS, the statement of comprehensive income can be prepared using either the one-statement approach (combining the income statement and other comprehensive income items into one statement) or the two-statement approach (preparing a separate income statement and statement of comprehensive income). Both approaches are allowed under IFRS, so the best answer is C. The stockholders' equity statement approach is not a commonly used approach under IFRS for presenting comprehensive income.

Under IFRS, the Statement of Comprehensive Income Can Be Prepared