Accumulated Other Comprehensive Income
A)is a shareholders' equity account that acts for other comprehensive income the way retained earnings acts for net income.
B)equals net income plus other comprehensive income.
C)includes gains and losses from sales or exchanges of assets or settlements of liabilities related incidentally or peripherally to the firm's core business.
D)Firms close amounts in net income for a period to Accumulated Other Comprehensive Income at the end of the period.
E)All of the above answer choices are correct.

Question

Quizplus · Accepted Answer

Accumulated Other Comprehensive Income (AOCI) is a shareholders' equity account that acts as a repository for other comprehensive income, which includes gains and losses from transactions that are not recognized in the income statement but affect equity. AOCI accumulates these gains and losses from year to year until they are eventually recognized in net income or until a change in accounting principles occurs.