When a company sells a segment of its business,the gain or loss on the disposal is shown as:

Question

Quizplus · Accepted Answer

When a company sells a segment of its business, the gain or loss on the disposal is shown as part of discontinued operations. This is because the segment has been discontinued and is no longer a part of the company's ongoing operations or continuing business. Therefore, it is reported separately from the income from continuing operations.

When a Company Sells a Segment of Its Business,the Gain