Question

give two example of income and gain​

Answer 1

interest received and discount received

Answer 2

Answer:

Income - Normal Business income ( income from Buiness operations)

Gain - Capital Income (profit on sale of capital Asset)

Explanation:

Definition of Gain

In accounting, a gain is the result of a peripheral activity, such as a retailer selling one of its old used vehicle. A gain occurs when the cash amount (or its equivalent) received is greater than the asset's carrying amount, which is also referred to as the asset's book value. For example, if the company receives $3,000 for the  old used vehicle, and the vehicle's carry amount (book value) at the time of the sale was $600, the company will have a gain of $2,400.

Definition of Income

Non-accountants might use the term income instead of the word revenue. Generally, accountants use the term income to mean "net of revenues and expenses." For example, a retailer's income from operations is its net sales minus the cost of goods sold minus its selling, general and administrative expenses.