The Japan-based multinational Sony engaged in when it partnered with Shanghai Oriental Pearl Group. Together, the two companies would make and market PlayStation consoles and games in China.

The Japan-based multinational Sony engaged in a joint venture when it partnered with Shanghai Oriental Pearl Group.

A strategic alliance in which two or more firms enters into partnership refers to a Joint Venture. These enter into partnership mainly to share markets, assets, knowledge, assets and profits. There will not be any transfer of ownership in JV.

In this JV the companies that partners with each other just shares the resources for the purpose of the accomplishment of any tasks. These partners are usually responsible for the profits, losses and all the costs associated with the JV. The Japan-based multinational Sony engaged in a joint venture when it partnered with Shanghai Oriental Pearl Group.

The correct answer is Gain or loss on the sale of equipment as part of continuing operations.

Explanation:

If a gross profit on sales is generated in the process of selling an item of property, plant and equipment, but additional expenses are also incurred, the only thing that is recognized in the income statement is the net profit.

Among the accounts of the income statement, only one record is made with the net profit that occurred in the process of the sale of the asset. Although the final effect on the income statement is the same as it had under the old regulatory framework, it can be said that with that single record among the income statements, what is sought is that high gross income and expenses are not shown high, as this could distort the different financial analyzes that will be carried out at the end of the year.