Series 79 practice questionhardComprehensive Income
Which of the following items is included in comprehensive income but NOT in net income under U.S. GAAP?
- AForeign currency translation adjustments✓ Correct answer
- BSales revenue
- CInterest expense
- DIncome tax expense
Explanation
Why A — Foreign currency translation adjustments
Foreign currency translation adjustments are recognized in other comprehensive income, not net income. Sales, interest, and tax expenses are included within net income.
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