Balance sheet + comprehensive income

Question 1

Accumulated other comprehensive income is reported in the

Answer 1

stockholders’ equity section of the balance sheet.

Question 2

common examples of items other comprehensive income

Answer 2

Unrealized gains or losses on available-for-sale securities
Unrealized gains or losses on other financial investments
Unrealized gains or losses on pension and retirement benefit plans
Foreign currency adjustments

includes all changes in equity during a period except those resulting from investments by owners and distributions to owners

Question 3

As per ASC 321, any equity securities that have a readily determinable fair value should be valued at their fair value on the balance sheet date and any changes in the fair value are reported in the statement of income (fair value through net income FVTNI). Record any unrealized gains and losses under continuing operations of the income statement.

Answer 3

.

Question 4

How should comprehensive income be reported?

Answer 4

May be reported in a separate statement or in a combined statement of income and comprehensive income