AuthorTopic: above line and below line
@2013-09-18 03:44:14
I was reading this site's notes concerning non recurring income items, they made a reference to "above line" and "below line" on the income statement. What do these terms refer to?
@2013-09-22 17:01:54
Usually on a Income Statment, above the line items are supposed to be part of recurring operating earnings.. where below the line are one time events which donot occur in every period..

As we know, the value of a company is a function of the recurring or operating earnings.. the "good" go above the line and the "bad" goes below the line..

@2013-10-11 21:17:22
"Above the line" indicates " Net Income from continuing operations", while "below the line" indicates the Net Income after exceptional Items such as Gain / Loss on Sale of Asset, Gain / Loss on sale of investments etc
@2013-10-18 04:34:16
I thought you can only put three types of information below the line: 1. discontinued operation, 2. extraordinary items (unusual and infrequent), and 3. accounting changes. Sale of assets and investments may have to be reported above the line if they don't meet the above guidelines. Correct?
@2014-12-07 13:07:09
the line we are talking abt is the "Tax line" right?

CFA Discussion Topic: above line and below line

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I am using your study notes and I know of at least 5 other friends of mine who used it and passed the exam last Dec. Keep up your great work!