An extraordinary item can result from
A) a segment of the business being sold
B) corporate income tax being paid
C) a change from one accounting method to another acceptable accounting method
D) a transaction or event that is unusual and occurs infrequently

Question

Quizplus · Accepted Answer

An extraordinary item is a transaction or event that is unusual and occurs infrequently. It is generally considered to be outside of the company's normal course of operations and is not expected to occur regularly. Examples of extraordinary items might include losses from natural disasters or gains or losses from significant legal settlements. Choices A, B, and C may result in other types of accounting adjustments, but they do not generally qualify as extraordinary items.

An Extraordinary Item Can Result from