Answer: The options are given below:
A. As an item of other comprehensive income.
B. As a deferred item until the subsidiary is sold.
C. As income from continuing operations.
D. As an extraordinary loss.
The correct option is C.
Explanation: Income from continuing operations is an income category that is found on the income statement and which accounts for a company’s regular business activities.
Income from continuing operations is also known as Operating Income.
In order for a business to succeed in the long term, it must consistently generate earnings from operations.
Income gotten from continuing operations is the primary source of income for successful businesses.
