question 36 in reporting discontinued operations, the income statement should show in a special section 1…

question 36 in reporting discontinued operations, the income statement should show in a special section 1. gains on the disposal of a discontinued component. 2. losses on the disposal of a discontinued component. o 2 only. o both 1 and 2. o 1 only. o neither 1 nor 2.

question 36 in reporting discontinued operations, the income statement should show in a special section 1. gains on the disposal of a discontinued component. 2. losses on the disposal of a discontinued component. o 2 only. o both 1 and 2. o 1 only. o neither 1 nor 2.

Answer

Brief Explanations:

When reporting discontinued operations, both gains and losses on the disposal of a discontinued component should be shown in a special section of the income statement. This is in accordance with accounting standards to clearly present the financial impact of discontinued parts of the business.

Answer:

C. both 1 and 2.