Which of the following is/are not extraordinary items?
I. Write-downs of inventory -
II. Expropriation by a foreign government
III. Losses due to hurricanes -
IV. Gains from disposal of a business segment
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A. B. C. D.B
Gains from disposal of a business segment are part of "Discontinued Operations," not extraordinary items. They appear segregated from the income from continuing operations as well as extraordinary items and are reported net of tax effects. Inventory write-downs and other such asset revaluations are considered unusual but not extraordinary items. These appear as part of income from continuing operations.