Presentation of comprehensive income must be reported under GAAP in
A) a statement of comprehensive income.
B) the notes to the financial statements.
C) the income statement ending with net income.
D) the statement of stockholders' equity.

Question

Quizplus · Accepted Answer

Presentation of comprehensive income is required under GAAP in a statement of comprehensive income, which includes both the traditional income statement and other comprehensive income items. The other comprehensive income items can be presented either net of tax or before tax, followed by the total tax amount, and then the total net comprehensive income. The statement of comprehensive income is presented along with other financial statements like balance sheet and statement of cash flows.

Presentation of Comprehensive Income Must Be Reported Under GAAP in