In general, the basic difference between the concepts of revenues and gains concerns
A) the materiality of the item being considered.
B) whether the event giving rise to the item relates to the typical activity of the enterprise.
C) whether the item is taxable in the current year.
D) the effect on total assets of the enterprise.

Question

Quizplus · Accepted Answer

Revenues typically arise from the primary activities of the enterprise, such as sales of goods or services, while gains are increases in equity from peripheral or incidental transactions.

In General, the Basic Difference Between the Concepts of Revenues