A loss on disposal of a segment would be reported in the income statement as a(n)
A loss on disposal of a segment would be reported in the income statement as a(n)
administrative expense
other expense
deduction from income from continuing operations
selling expense
Homework Answers
Q12). Option(C). deduction from income from continuing operations is the correct answer.
*A loss on disposal of a segment is a deduction from income from continuing operations.
*Administrative expense; Other expenses; Selling expenses is deducted before income before income tax.
| Income Statement Format: | |
| Other Revenue and gains | xxx |
| Less: Other Expenses and losses | (Xxx) |
| Income from continuing operations before income taxes | xxx |
| Less: Income taxes | (Xxx) |
| Income from Continuing Operations | xxxx |
| Discontinued operations: | |
| Less: Loss from operations of discontinued | (Xxx) |
| Less: Loss on disposal of segment | (Xxx) |
| Extra-ordinary gain | xxx |
| Net Income | xxxxx |
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A loss on disposal of a segment would be reported in the income statement as a(n)
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