Question : Claim received against damage of fixed assets say because of an earthquake is an example of ____________.
Option 1: Extraordinary items of Operating activities
Option 2: Extraordinary items of Investing Activities
Option 3: Extraordinary items of financing Activities
Option 4: None of the above
Correct Answer: Extraordinary items of Investing Activities
Solution : Answer = Extraordinary items of Investing Activities
Claim received against damage of fixed assets because of an earthquake is an example of extraordinary items because Extraordinary items are incomes and expenses that arise from events or transactions that are clearly distinct from the ordinary business activities of the enterprise.
Hence, the correct option is 2.
