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A Company Incurs a Loss Due to Restructuring

Question 32

Multiple Choice

A company incurs a loss due to restructuring. This is the first time the company has experienced a restructuring. The loss from this event would be shown as:


A) a normal business occurrence requiring an adjustment to the beginning balance in Retained Earnings.
B) a prior-period adjustment.
C) an extraordinary item.
D) other gains and losses.

Correct Answer:

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