CAF-1 · Chapter 8 · Question 13 of 15
Which of the following is an example of an item that is recognized in 'Other Comprehensive Income' and subsequently appears in the statement of changes in equity?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: B) Gain on revaluation of property, plant and equipment.
Explanation
Revaluation surplus arising from the revaluation of PPE is recognized in Other Comprehensive Income and accumulates in equity as a capital reserve.
More Statement of Changes in Equity MCQs
- Q15Transaction costs directly related to the issuance of new shares should be:
- Q1Which of the following is considered a 'revenue reserve' (distributable reserve) in the statement of changes in equity?
- Q2How should a final dividend declared just after the year-end be presented in the financial statements for that year?
- Q3Where must an entity present the amount of dividends recognized as distributions to owners during the period?
- Q4Which of the following causes an overall change in equity during a period?