Which of the following is not a characteristic of an extraordinary item?
A) Unusual in nature
B) Infrequent in occurrence
C) Material in amount
D) Subject to a firm commitment

Question

Quizplus · Accepted Answer

An extraordinary item does not have to be subject to a firm commitment. The other three characteristics (unusual in nature, infrequent in occurrence, material in amount) are required for an item to be classified as an extraordinary item under GAAP.

Which of the Following Is Not a Characteristic of an Extraordinary