How should Stanley Inc. account for the impairment loss reversal on its current year financial statements?
A. Book the reversal to the current year’s income statement.
B. Recognize the reversal to the current year’s other comprehensive income.
C. Book the increase as an adjustment to the previous year’s other comprehensive income.
D. Recognize the increase as an adjustment to the previous year’s income statement.
Answer:B
How should Stanley Inc. account for the impairment loss reversal on its current year financial statements?
A. Book the reversal to the current year’s income statement. B. Recognize the reversal to the current year’s other comprehensive income. C. Book the increase as an adjustment to the previous year’s other comprehensive income. D. Recognize the increase as an adjustment to the previous year’s income statement.