Indicate which of the following items would be re- ported as an extraordinary item on Thought for

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Indicate which of the following items would be re- ported as an extraordinary item on Thought for Food Corporation's income statement.

(a) Loss from damages caused by a volcano eruption.

(b) Loss from the sale of short-term investments.

(c) Loss attributable to a labor strike.

(d) Loss caused when the Food and Drug Adminis- tration prohibited the manufacture and sale of a product line.

(e) Loss of inventory from flood damage because a warehouse is located on a flood plain that floods every 5 to 10 years.

(f) Loss on the write-down of outdated inventory. (g) Loss from a foreign government's expropriation of a production facility. (h) Loss from damage to a warehouse in southern California from a minor earthquake.

AppendixLO1

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Financial Accounting Tools For Business Decision Making

ISBN: 9780471691952

3rd Edition

Authors: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso

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