- CFA Exams
- CFA Level I Exam
- Study Session 7. Financial Reporting and Analysis (2)
- Reading 21. Understanding Income Statements
- Subject 6. Non-Recurring Items and Non-Operating Items
CFA Practice Question
The order in which non-operating items appear on an income statement is:
B. accounting changes, discontinued operations, extraordinary items.
C. discontinued operations, extraordinary items, accounting changes.
A. extraordinary items, accounting changes, discontinued operations.
B. accounting changes, discontinued operations, extraordinary items.
C. discontinued operations, extraordinary items, accounting changes.
Correct Answer: C
Non-operating items should appear on the income statement in the following order: discontinued operations, extraordinary items, accounting changes.
User Contributed Comments 12
User | Comment |
---|---|
DaBlasta | Use acronym 'IDEA' I- Income from continuing D- Discontinued E- Extra ordn A- Accn chngs |
kutta2102 | good one! |
larc4eva | Thanks DaBlasta! |
meghanchloe | i love this! Thanks DaBlasta |
bujjipapa | great.. easy to remember |
brahmareddy | Thanks .. nice idea |
dipu617 | Thanks DaBlasta. :-) |
ppboi16 | Wow... IDEA.. Beautiful, Thanks! |
jonan203 | IDEA, awesome keep em coming guys! |
silky11 | THANKS..ITS A GOOD ONE |
farhan92 | IDEA is great!! - who is this Einstien equivalent genius that conjured up such epicness |
Inaganti6 | @farhan92 Hey Einstein, it's Einstein. |