Intermediate Accounting 14th Edition

Published by Wiley
ISBN 10: 0470587237
ISBN 13: 978-0-47058-723-2

Chapter 4 - Income Statement and Related Information - Questions - Page 187: 16d

Answer

If this income was not recognized in the year 2009 when the refund was realized, the amount should be recognized when calculating net income within the current period.

Work Step by Step

It is also good to note that this is not an extraordinary item and should not be recognized as an extraordinary entry.
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