In an equity-settled transaction, if the total compensation changes in the subsequent period, the change is A. Not accounted B. Deferred through the vesting period C. Accounted prospectively D. Accounted retrospectively
Q: What is the date on which the fair value of the equity instrument granted is measured? a.…
A: Solution: For transactions measured at the fair value of the equity instruments granted, fair value…
Q: If in subsequent period, there is objective evidence of recovery in impairment previously recognized…
A: If previously Amortized debt measured by amortised cost has been recognized as debt in equity…
Q: need to explain In the preparation of a schedule of safe payments, cash withheld for future…
A: Under the schedule of safe payments the possible loss consists of the total of value of non cash…
Q: If it is impracticable to determine the cumulative effect of an accounting change to any of the…
A: There are situations when company adopt to new method of accounting due to which changes occur in…
Q: How should (i) a change in calculating the provision for doubtful accounts, and (ii) change in…
A: The provision for doubtful accounts is accounting estimates that change on a yearly basis. It is…
Q: Which account balance will change between the adjusted trial balance and the post-closing trial…
A: Answer) The correct answer in the given question is: Retained Earnings
Q: Under the corridor approach, a company only amortizes the net accumulated unamortized actuarial…
A: Introduction Corridor approach is a techniques used to reduce the amount of gain or losses, it…
Q: If deposit for lease contract was recorded as Rent Expense,
A: Rent deposit is the deposit made by the tenant to the landlord. Rent deposit will be held by the…
Q: A change in the liability for warranty costs requires a. presenting prior-period financial…
A:
Q: Appropriations of retained earnings are proper a. When required by contractual agreements b. All…
A: solution Appropriations of retained earnings are proper Correct answer is option c. When BOD…
Q: text __________________is the residual interest in the assets of the entity after deducting all of…
A: Assets of the business composed of two components, one is related to liabilities part and other is…
Q: n a restated set of financial statements prepared in accordance with the current cost accounting,…
A: Realized gain is the gain on sale of the asset where its cost price is less than the selling price.…
Q: Any anticipated loss should be recognized * A.on a percentage basis during the contract period B.…
A: The amount of anticipated loss is calculated regardless of: (a) whether or not work on the contract…
Q: Which of the following items represents a deferral?A. Prepaid insuranceB. Wages payableC. Fees…
A: In accounting, deferral means to defer or delay recognizing certain revenues or expenses…
Q: Change in an accounting principle is accounted for O by a prior period adjustment. O by a…
A: Accounting principles are those set of rules, policies and guidelines which are used for making…
Q: In an equity-settled transaction, if the total compensation changes in the subsequent period, the…
A: A grant of equity instruments may be conditional upon satisfying specifiedvesting conditions.
Q: the total debits in the statement of realization and liquidation exceeds the total credits, there is…
A: THE CORRECT ANSWER IS (A) NET LOSS FOR THE PERIOD , To calculate a realized gain or loss, take the…
Q: Would a change from Completed Contract to Percentage of Completion be a change in accounting…
A: Change in accounting principle means that change in how financial information is calculated, while…
Q: Which is the proper way to report a contingent asset? a. As an asset b. No disclosure and no accrua…
A: As per IAS 37, Provisions, contingent liabilities and contingent assets. A contingent asset arise…
Q: Which of the application of of a. Presenting a the related s b. Deducting fe gains and pr c.…
A: Presentation of Financial Statements PAS 1 describes the basis for presenting the general purpose…
Q: Under IFRS, receivables are to be reported on the balance sheet at: a. amortized cost. b.…
A: Amortization: Amortization is a process in which the cost of intangible assets is spread equally…
Q: Assume that a business is headed for certain bankruptcy and it is evident that its liabilities…
A: Generally Accepted Accounting Principles (GAAP) or US GAAP are the collection of accounting…
Q: A gain or loss from debt restructuring should be A. treated as increase or decrease in Paid-in…
A: Earlier gain or loss from debt restructuring was transferred to capital reserve, but now gain or…
Q: The return on plan assets a.is the change in the fair value of the plan assets during the year. b.…
A: Introduction: A long-term employee benefit fund's plan assets are assets/investments kept for the…
Q: When an investment ceases to be an associate, the fair value of the investment at the date when it…
A: Investment is the amount saved by the investor in order to earn regular income as well as get the…
Q: Choose the correct. How are assets to be reported when the liquidation basis of accounting is being…
A: Assets cannot be reported at its fair value, book value (cost less accumulated depreciation), or…
Q: In the final settlement, of the contingent consideration, which of the following statements is…
A: I. If the contingent consideration is classified as equity, the amount shall be measured upon…
Q: Advances from customers are classified as a(n) Select one: a. The answer does not exist b. revenue.…
A: Unearned sales Revenue: Unearned sales Revenue means money received from the customer in advance for…
Q: loses significant influence over the associate, the balance of the investment in the associate is…
A: When the company has significant influence over the associate, then equity method should be used for…
Q: Which option is not a short term adjustment? A. Prepaid expense B. Depreciation C. Income…
A: The correct answer for the above mentioned question is given in the following steps for your…
Q: Financial liabilities that are classified as amortized cost are subsequently measured at A. Partly…
A: Lets understand the meaning of financial liability. Financial liability is a contractual obligation…
Q: Which one of these statements is true of the accumulated depreciation account? O the account is to…
A: Accumulated depreciation is the total of depreciation applied on a fixed asset on a particular point…
Q: Under the temporal method, retained earnings would be remeasured at:
A: Terminal Method: It is possible to convert the currency of a foreign subsidiary into that of the…
Q: Which of the following statements is/are true about contingent consideration under the revised PFRS…
A: solution concept as pe the provision of PFRS 3 business combinations contingent consideration can be…
Q: How would a property dividend declared before end of reporting period and to be distributed in the…
A: Dividend is distribution of profits to shareholders from retained earnings. Retained earnings is the…
Q: The new standard, Revenue from Contracts with Customers, recognizes revenue based on a(n):…
A: Solution: The new standard, Revenue from Contracts with Customers "adopts an asset-liability…
Q: IDENTIFICATION OF AN ASSETS, LIABILITY, EQUITY, INCOME, EXPENSES or WITHDRAWAL For each of the…
A: The financial statements are prepared by passing the journal entries, adjusting entries,…
Q: In the final settlement, of the contingent consideration, which of the following statements is…
A: I. Contingent consideration classified as equity the amount shall be measured upon settlement and…
Q: When should a reversal of a goodwill impairment be recognised? a) © Immediately b) At…
A: Goodwill Impairment: Accounting charges are referred to as goodwill impairment when the carrying…
Q: Residual interest in the asset of an entity that remains after deducting its liabilities is? a.…
A: Accounting Equation - Accounting Equation is calculated using following equation - Assets =…
Q: Prospective application of a change in accounting policy is required A.Anytime B. When the…
A: Solution: Prospective application of a change in accounting policy is required "When the amount of…
Q: What is the liability created by receiving revenue in advance called (before it is actually earned)?…
A: Revenue receipts in Advance is shown as unearned revenue.
Q: Appropriations of retained earnings are proper When BOD voluntarily designates a portion of…
A: Retained earnings is the nothing but an amount of net income left over or net income accumulated…
Q: Which of the following could be charged to the profit and loss account as an expense? O A…
A: Profit and Loss account provides overview about all incomes and expenses of an entity for a…
Q: tatement 1: Measurement period is relevant if Fair Value of Net Assets of acquiree includes the…
A: While Acquiring Assets and Liabilities Acquirer does not recognize contingent assets acquired in a…
Q: Explain the adjustments made in the equity method when the fair value of the net assets underlying…
A: When a company follows equity method when it has significant influence over such company.The…
Q: Which of the following is not affected by a change in interest expense? a. gross margin b.…
A: The question is based on the concept of Financial Accounting.
Q: The “excess of the acquirer’s interest in the net fair value of acquiree’s identifiable assets,…
A: The parent entity acquires control in the subsidiary entity by acquiring their net assets in…
In an equity-settled transaction, if the total compensation changes in the subsequent period, the change is
Step by step
Solved in 2 steps
- When the required balance of the loss allowance decreases, a. the entity recognizes gain. b. the entity recognizes loss. c. the entity recognizes unearned interest to be amortized over the remaining term of the instrument. d. the entity recognizes a deferred charge to be amortized over the remaining term of the instrument.Appropriations of retained earnings are proper a. When required by contractual agreements b. All of the other choices c. When BOD voluntarily designates a portion of retained earnings for future expenses or contingencies d. When required by law_____ is a contract that involves compensation for specific potential future losses in exchange for periodic payments and that provides for the transfer of the risk of a loss, from one entity to another, in exchange for a premium. a.Spot contract b.Insurance c.Hedging d. Forward contract
- Which of the following creates a taxable temporary- difference? I. Prepaid expenseII. Estimated liabilities Ill. Unearned incomeIV. Installment receivable Choices: I, II, and IV II and IV I, II and III I and IVHow should (i) a change in calculating the provision for doubtful accounts, and (ii) change in subsequent measurement of investment property from cost to fair value, accounted for? * a. (i) Currently and prospectively; (ii) Currently and prospectively b. (i) Retrospectively; (ii) Retrospectively c. (i) Retrospectively; (ii) Currently and prospectively d. (i) Currently and prospectively; (ii) RetrospectivelyA currently maturing obligation of the entity is classified on the SFP as a? a. Current Asset b.Current Liabilities c. Non-Current Liabilities d. Non-Current Assets
- Question 3. Classify each of the following accounts as (a) asset, (b) liability, or (c) equity. a.→Defined benefit obligation b.→Plan asset c.→Right-of-use asset d.→Contract asset e.→ Unearned revenue f.→ Deferred tax asset g.→Accumulated other comprehensive losseIf the equity-settled transaction (share option) is granted early during the vesting period, the compensation that wold have been recognized in the future shall be A. Recognized in other comprehensive income B. Deferred until the exercise of the option C. Recognized in profit or loss immediately D. Shall be offset against the value of the equity grantedFor assets acquired on credit or by installment, the cost or fair value is equal to: A. cash purchase priceB. invoice priceC. installment priceD. list price
- Which of the following is not affected by a change in interest expense? a. gross margin b. EBIT c. ROE d. a. and b e. all of the aboveWhich among the following suits best for Unearned revenue? a. Liability b. Expense c. Revenue d. AssetWhich of the following is a characteristic of a current liability but not a long-term liability? a. Liquidation is reasonably expected to require use of existing resources classified as current assets or create other current liabilities. b. Unavoidable obligation. c. Transaction or other event creating the liability has already occurred. d. Present obligation that entails settlement by probable future transfer or use of cash, goods, or services.