The share premium and the revaluation reserve are both revenue related, however the retained earnings is capital/equity related -true -galse

Q: Under IFRS, the amount of capital received in excess of par value would be credited to: a.…

A:

Q: Is there a consequence for reported profit or loss if a particular financial instrument, for…

A: Equity Stock represents the ownership in the company. Equity shareholders have the residual claim on…

Q: Briefly describe some of the similarities and differences between GAAP and IFRS with respect to the…

A: Generally Accepted Accounting Principles:   GAAP (Generally Accepted Accounting Principles) is a…

Q: Why is the distinction between paid-in capital andretained earnings important?

A:

Q: stockholders equity, paid in capital , retained earnings and net

A:

Q: Which of the following best describes the possible result of treasury share transactions?    a. May…

A: The treasury shares are the shares which are repurchased by company from its own shares.

Q: Retained earnings must be appropriated if there are treasury shares due to: A. contractual…

A: Appropriation of retained earnings is created by the company for a specific purpose voluntarily. It…

Q: is a correct statement below? A. Equity is the residual interest in the liabilities of the entity…

A: Option A is incorrect The correct statement is  Equity is the residual interest in the assets of the…

Q: For fi nancial assets classifi ed as trading securities, how are unrealized gains and losses refl…

A: Trading securities are debt or equity assets that management expects to aggressively sell for gain…

Q: For fi nancial assets classifi ed as trading securities, how are unrealized gains and losses refl…

A: Financial assets classified as trading securities can be defined as the assets which can be realized…

Q: Explain the accounting for the issuance of: a. Par value share b. No-par value share

A: “Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: Which of the following would result from watered shares? overstated capital understated assets…

A: solution : Which of the following would result from watered shares? Correct answer is overstated…

Q: Debt in the capital structure could be treated as if it were common stock in the weighted average…

A: Debt in the capital structure could be treated as if it were common stock in the weighted average…

Q: Which of the following is not an undistributable reserve?    A. Share premium account     B.…

A: Undistributable reserve means reserves which are not available for distribution to share holders.…

Q: Which of the following is not a long term source of capital? a. Preferred stock b. Common stock c.…

A: Sources of capital can be long-term and short-term. Those sources which have a repayment period of…

Q: ontributed capital does not include    a. Preference shares b. Share premium on preference shares c.…

A: Solution: Contributed capital does not include "Capital accumulated by retention of earnings".

Q: The cost of retained earnings is less than the cost of ordinary shares because of *

A: Issuance cost: This is incremental cost directly associated with issue of ordinary shares. This cost…

Q: Explain the difference between the proportional methodand the incremental method of allocating the…

A:

Q: The Share Premium-Ordinary account represents the amount of legal capital. O is reported as part of…

A: Shareholder's EquityThe amount available to the shareholders in the company is called shareholder's…

Q: Explain the difference(s) between investments in equity securities classified as current assets…

A:

Q: what are the similarities between paid-in-capital and retained earnings

A: The answer is as fallows

Q: Discuss the propriety of showing:(a) Treasury stock as an asset.(b) “Gain” or “loss” on sale of…

A: (a)

Q: Describe retained earnings and distinguish it from paid-in capital.

A: Stockholders’ equity: The claims of owners on a company’s resources, after the liabilities are paid…

Q: If shares are issued for a non-cash asset, the share should be recorded at?    a. Zero b. Fair…

A: Solution: If shares are issued for a non-cash asset, the share should be recorded at "Fair value"…

Q: Which of the following is not a method that may be used to account for treasury shares? a. Cost…

A: The treasury shares are the shares which are reacquired by the issuing company from the…

Q: The bond interest expense for a period is more than interest paid when bonds are sold at O A. A…

A: "Since you have asked multiple questions, we will solve first question for you. Of you want any…