Asked by marissa ciavatta on Jul 21, 2024
Verified
Gain on Sale of Equipment
A)Current Assets
B)Fixed Assets
C)Intangible Assets
D)Current Liability
E)Long-Term Liability
F)Owners' Equity
G)Revenues
H)Operating Expenses
I)Other Income/Expense
Other Income/Expense
Gains or losses from non-operational activities, distinct from the core business operations’ revenues and expenses.
Gain
The profit realized from the sale of assets or investments for more than their original purchase price.
Sale of Equipment
A transaction involving the disposal of machinery or other equipment used in business operations, typically recorded as a gain or loss.
- Absorb the principles of presenting long-lived assets and accompanying expenses in financial documentation.
Verified Answer
AS
Alexis StuartJul 24, 2024
Final Answer :
i
Explanation :
Gain on Sale of Equipment is typically reported in the "Other revenue and expense" section of the income statement, as it is not part of the company's primary operations.
Learning Objectives
- Absorb the principles of presenting long-lived assets and accompanying expenses in financial documentation.