In distinguishing between revenues and gains, which of the following statements is false?
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 rather than 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 statement is incorrect regarding how revenues are more often reported.

In Distinguishing Between Revenues and Gains, Which of the Following