RT Corp. shows a loss from flooding of $235,000 for the year. Flooding is not uncommon in the area, and so this loss will be included in operating income.

Question

Quizplus · Accepted Answer

Since flooding is not an extraordinary or non-recurring event in the area, the loss of $235,000 will be considered a part of operating expenses and will be included in the calculation of operating income.

RT Corp Shows a Loss from Flooding of $235,000 for the the Year