Which factor is included in "accumulated other comprehensive income" (AOCI)?

Accumulated Other Comprehensive Income (AOCI) is a component of equity that encompasses certain gains and losses that are not recognized in the income statement. These items are specifically excluded from net income under Generally Accepted Accounting Principles (GAAP) and thus are categorized as "other comprehensive income."

Unrealized gains and losses that are not reported in net income, such as those arising from available-for-sale securities, foreign currency translation adjustments, or pension plan adjustments, are included in AOCI. These unrealized items have not yet been realized through transactions, which is why they do not impact the current period's net income. Their inclusion in AOCI reflects the comprehensive income of the entity by providing a more complete view of the company's financial health beyond what is captured in net income alone.

The other options do not align with the definition of AOCI. Realized gains and losses from asset sales, for example, are included in net income, while operating income from core business activities pertains solely to the regular operations and is reported directly on the income statement. Non-operating income also falls under net income and does not belong in AOCI. Thus, the correct answer reflects the unrealized aspects of income that give insight into the broader financial position of the company while being separate