Which of the following items would not appear in the operating section of the multiple-step income statement of a manufacturer?
A) sales of products
B) the cost of goods sold during the period
C) depreciation expense of the machinery used on the assembly line
D) the gain or loss on the disposal of equipment used on the assembly line

Question

Quizplus · Accepted Answer

The gain or loss on the disposal of equipment is considered a non-operating item and would appear in the non-operating section of the income statement, not in the operating section.

Which of the Following Items Would Not Appear in the Operating