Question

The statement of comprehensive income reports the changes in shareholders' equity during the period that:

a)were the result of transactions with owners
b)equal the difference between revenues and expenses
c)were not a result of transactions with owners
d)equal the difference between assets and liabilities

Answer 1

The statement of comprehensive income reports the changes in shareholders' equity during the period that equal the difference between revenues and expenses.

Step-by-step explanation:

The statement of comprehensive income reports the changes in shareholders' equity during the period that equal the difference between revenues and expenses. Option b) is the correct answer. The comprehensive income statement includes all revenues and gains minus all expenses and losses, resulting in the net income or loss for the period. It does not include transactions with owners (a), the difference between assets and liabilities (d), or transactions that are not a result of owner transactions (c).