Question

Difference between holding gain and operating gain

Answer 1

holding gain means put the gain as a permit and operating it means operate or use of the gain at different levels


by anshu jurriya IITIAN

Answer 2

Difference between holding gain and operating gain

Operating gain and Holding gain are explained below,

Operating gain:

For any period, the amount, if any, by which cash receipts exceed cash expenditures is known as operating gain. In other terms, it is the operating revenue less benefit expense and administrative expense.

Holding gain:

The increase in replacement costs of assets held during a specified period of time is known as holding gains. They are mostly used in income measurement and inflation accounting. They are of two types namely,

• realized [sold goods] and
• unrealized [stock].

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