ACCA Applied Knowledge · Business and Technology · Financial information provided by business
Which of the following is an item of 'other comprehensive income' rather than part of profit or loss?
A gain on revaluation of a property is recognised in other comprehensive income and credited to the revaluation surplus. Revenue, depreciation and loan interest are all income or expense items that are reported within profit or loss for the period.
- ARevenue from selling goods
- BDepreciation of equipment
- CGain on revaluation of a propertyCorrect
- DInterest paid on a bank loan
Explanation
Revaluation gains on property, plant and equipment are recognised in other comprehensive income and taken to a revaluation surplus. Revenue, depreciation and finance costs are all recognised within profit or loss.
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