A statement of comprehensive income does not include:
A)Net income.
B)Losses resulting from the return on assets exceeding expectations.
C)Losses from changes in estimates regarding the PBO.
D)Prior service cost.

Question

Quizplus · Accepted Answer

The statement of comprehensive income includes net income and other comprehensive income, which includes gains or losses that are not recognized in net income but are instead reported in the equity section of the balance sheet. However, losses resulting from the return on assets exceeding expectations are not included in the statement of comprehensive income. This type of loss would typically fall under the category of investment income or loss, which is reported separately on the income statement. The other options (C and D) are items that may be included in the statement of comprehensive income, as they represent changes in the company's financial position that go beyond the basic calculation of net income.

A Statement of Comprehensive Income Does Not Include