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Sales revenue $800,000
Cost of goods sold 600,000
Operating expenses 90,000
Unrealized holding gain on available-for-sale securities, net of tax30,000 What amount should the company report as comprehensive income as of December31?
A. $30,000
B. $110,000
C. $140,000
D. $200,000
The company report as comprehensive income as of December 31 Is C.
the Solution to above question is C
The answer will definatly be B $110,000
Correct answer is C. $ 140, 000
C, =$140,000
800-600=200
200-90=110
110+30= 140
i will go with C, The income will be 140,000
HI I wish to go with B $140.000
Unrelized gain on short term term investment is a non taxable gain unless it is relaized, however I would assume that company follows IFRS as an accounting framework, and they deferred taxes, therefore comprehensive income shall be
(800K-600K-90K+ 30K ) =140K
The unrealised holding gain would be added to the Net Profit and hence the comprehensive income would increase to $140,000