Comprehensive income

Question

Quizplus · Accepted Answer

Comprehensive income may be reported on a separate statement or on the face of the income statement, as it includes all changes in equity during a period other than transactions with shareholders. It is not the same as net income, as it includes other gains and losses like unrealized gains or losses on investments, translation adjustments, and gains or losses on certain types of hedging activities. It does include some revenue and expense items that are part of continuing operations, but also includes other gains and losses that are not. It cannot be presented instead of the shareholders' equity section of the balance sheet, as it is a separate statement of changes in equity.

Comprehensive Income