Which of the following is often reported as an extraordinary item?
A) Amortization expense.
B) Impairment losses for intangible assets other than goodwill.
C) Impairment losses on goodwill.
D) None of these answer choices are correct.

Question

Quizplus · Accepted Answer

Extraordinary items are no longer classified as such in financial reporting according to the most recent accounting standards (e.g., US GAAP and IFRS). Previously, extraordinary items were events and transactions that were both unusual in nature and infrequent in occurrence. However, amortization expense, impairment losses for intangible assets other than goodwill, and impairment losses on goodwill are not considered extraordinary items even under the old standards. They are instead considered part of ordinary business operations or accounting adjustments.

Which of the Following Is Often Reported as an Extraordinary