Extraordinary items will be included in the income statement:
A) When they are material and need to be disclosed separately.
B) When an item of revenue or expense is attributable to an event outside the ordinary course of business.
C) When an expense or a revenue is of a non-recurring nature.
D) When an item of revenue or expense is attributable to an event outside the ordinary course of business and when an expense or a revenue is of a non-recurring nature.
E) None of the given answers.

Question

Quizplus · Accepted Answer

Extraordinary items are no longer separately reported in the income statement under current accounting standards (e.g., IFRS and US GAAP). They are included in the ordinary income.

Extraordinary Items Will Be Included in the Income Statement