During the Current Period,Canada Revenue Agency Assessed a Firm a Nonrecurring

Multiple Choice

During the current period,Canada Revenue Agency assessed a firm a nonrecurring income tax amount (but not a penalty) as a result of a Tax Court case involving a disputed deduction from a prior year (the firm lost the case) .This amount should be reported by the firm as a (n) :

A) Correction of period years' errors.
B) Extraordinary loss.
C) Expense or loss of the current period.
D) Direct adjustment to owner's equity.