Choose the best answer. Thank You!! 1.Fight Club Co. enters into a contract with Tough Co., a promoter of mixed martial arts (MMA) fights. Under the contract, Fight Club Co. purchases MMA event tickets from Tough at a negotiated price and resells them to end customers at a marked-up price. Fight Club bears the loss for unsold tickets. The arrangement between Fight and Tough implies a principal-agent relationship whereby Fight is an agent of Tough. a. True b. False 2.If an entity gives a product warranty that has been issued directly by a manufacturer, dealer or retailer, which IFRS is likely to cover this warranty? * a.IAS 32 Financial instruments - Presentation b.IAS 37 Provisions, contingent liabilities and contingent assets c.IFRS 17 Insurance contracts d.IFRS 9 Financial instruments 3.An entity should apply IFRS 17 to which of the following? * a.Employer's asset and liabilities under employment benefit plans. b.Reinsurance contracts issued by the entity. c.Product warrantis issued by an entity which is manufacturer. d.Contingent consideration receiable in business combination. 4.A reinsurance contract is * a.A direct insurance contract. b.A financial guaratne contract c.An insurance contract issued by one insurer to compensate another insurer for losses on one or more contract issued by the latter. d.All of these reinsurance contract.
Choose the best answer. Thank You!!
1.Fight Club Co. enters into a contract with Tough Co., a promoter of mixed martial arts (MMA) fights. Under the contract, Fight Club Co. purchases MMA event tickets from Tough at a negotiated price and resells them to end customers at a marked-up price. Fight Club bears the loss for unsold tickets. The arrangement between Fight and Tough implies a principal-agent relationship whereby Fight is an agent of Tough.
a. True
b. False
2.If an entity gives a product warranty that has been issued directly by a manufacturer, dealer or retailer, which IFRS is likely to cover this warranty? *
a.IAS 32 Financial instruments - Presentation
b.IAS 37 Provisions,
c.IFRS 17 Insurance contracts
d.IFRS 9 Financial instruments
3.An entity should apply IFRS 17 to which of the following? *
a.Employer's asset and liabilities under employment benefit plans.
b.Reinsurance contracts issued by the entity.
c.Product warrantis issued by an entity which is manufacturer.
d.Contingent consideration receiable in business combination.
4.A reinsurance contract is *
a.A direct insurance contract.
b.A financial guaratne contract
c.An insurance contract issued by one insurer to compensate another insurer for losses on one or more contract issued by the latter.
d.All of these reinsurance contract.
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