Which of the following is NOT true regarding restructuring charges?
A) Restructuring charges reflect a loss in asset values of assets no longer consistent with a company's strategic plan.
B) Severance pay for employees working at terminated operations may be a component of restructuring charges.
C) Restructuring charges may include plant closing costs.
D) Restructuring charges are reported as extraordinary items.

Question

Quizplus · Accepted Answer

Restructuring charges are reported as a separate line item on the income statement, but they are not reported as extraordinary items.

Which of the Following Is NOT True Regarding Restructuring Charges