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Extremely large write-downs or write-offs are reported in continuing operations, gross of tax.

a-true
b-false

User Nickpish
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Final answer:

Extremely large write-downs or write-offs are reported in continuing operations, gross of tax, when a company reduces the value of its assets significantly. This is done before deducting any tax expenses.

Step-by-step explanation:

In accounting, write-downs or write-offs occur when a company reduces the value of its assets on its financial statements. These reductions can be caused by factors like obsolescence, damage, or changes in market conditions. When extremely large write-downs or write-offs are reported in continuing operations, gross of tax, it means that the company is recognizing a significant loss in the value of its assets which is directly impacting its ongoing operations. This information is reported before any tax expenses are deducted, giving a gross figure.

User Lastcanal
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