Listed below are several terms and phrases associated with income statement presentation and the statement of cash
Question:
Listed below are several terms and phrases associated with income statement presentation and the statement of cash flows. Pair each item from List A (by letter) with the item from List B that is most appropriately associated with it.
List A | List B |
_____1. Intraperiod tax allocation | a. Unusual, infrequent, and material gains and losses. |
_____2. Comprehensive income | b. Starts with net income and works backwards to convert to cash. |
_____3. Extraordinary items | c. Reports the cash effects of each operating activity directly on the statement. |
_____4. Operating income | d. Correction of a material error of a prior period. |
_____5. A discontinued operation | e. Related to the external financing of the company. |
_____6. Earnings per share | f. Associates tax with income statement item. |
_____7. Prior period adjustment | g. Total nonowner change in equity. |
_____8. Financing activities | h. Related to the transactions entering into the determination of net income. |
_____9. Operating activities (SCF) | i. Related to the acquisition and disposition of long-term assets. |
_____10. Investing activities | j. Required disclosure for publicly traded corporation. |
_____11. Direct method | k. A component of an entity. |
_____12. Indirect method | l. Directly related to principal revenue-generating activities. |
Intermediate Accounting
ISBN: 978-1259548185
8th edition
Authors: David Spiceland, James Sepe, Mark Nelson, Wayne Thomas