U.S.GAAP and IFRS require firms to initially report the results of most income transactions in the
A)retained earnings bypassing the income statement.
B)income statement instead of bypassing the income statement and reporting the amounts in some other shareholders' equity account.
C)paid-in-capital bypassing the income statement.
D)retained earnings bypassing the income statement
E)treasury stock bypassing the income statement

Question

Quizplus · Accepted Answer

Both U.S.GAAP and IFRS require firms to initially report the results of most income transactions in the income statement. It is not reported in any other shareholders' equity accounts or bypassed through retained earnings, paid-in-capital or treasury stock.

USGAAP and IFRS Require Firms to Initially Report the Results