Under what circumstances under PFRS 9 can an entity classify financial assets that meet the amortized cost criteria as at FVTPL? Group of answer choices Where the instrument is held to maturity. Where the business model approach is adopted. Where the financial asset passes the contractual cash flow characteristics test. Not sure If doing so eliminates or reduces an accounting mismatch.

Under what circumstances under PFRS 9 can an entity classify financial assets that meet the amortized cost criteria as at FVTPL? Group of answer choices Where the instrument is held to maturity. Where the business model approach is adopted. Where the financial asset passes the contractual cash flow characteristics test. Not sure If doing so eliminates or reduces an accounting mismatch.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

21 - Which of the following is one of the features of resource accounts?A) They give the remainder of the debtB) They are included in the liabilities of the balance sheet.C) Decreases are credited.D) no regulatory account at allE) Increases are recorded in debt.
Question: How does the Conceptual Framework for Financial Reporting reconcile the tensions between historical cost accounting and fair value accounting, and how does it strike a balance between providing relevant information for decision-making while ensuring the faithful representation of financial transactions in volatile and uncertain economic environments? ?
Question 8: Accounting policy choice is afforded ASPE and not IFRS when it comes to capitalization of borrowing costs. Explain your take on why this might be the case.
18 Debt investments with an objective of collecting contractual cash flows is classified as: Group of answer choices Through other comprehensive income only At amortized cost only Through other comprehensive income or at amortized cost, depending on circumstances. Through profit or loss only
PFRS 9 requires entities to measure their financial assets based on The contractual cash flow characteristics of the financial asset. The company’s business model for managing its financial assets. a. Neither 1 nor 2 b. 2 only c. Both 1 and 2 d. 1 only
Essay question Explain Liquidity and Solvency terms as they relate to the statement of financial position.
The objective of general financial reporting is to provide financial information about thereporting entity that is useful to existing and potential investors, lenders and other creditorsin making decisions relating to providing resources to the entity. To make the necessarydecisions users need to obtain information and assess those decisions that are NOTrelevant. Which of the following options are not relevant for users to assess?1. Prospects for past net cash inflows to the entity.2. Decisions about providing or settling loans and other forms of credit.3. Decisions about exercising rights to vote on, or otherwise influence, management’sactions that affect the use of the entity’s economic resources.4. Decisions about buying, selling or holding equity and debt instruments.
The objective of general-purpose financial reporting is? to provide users with financial information that implies total freedom from error to provide companies with the option to select information that favors one set of interested parties over another O to provide financial information about the reporting entity that is useful to present and potential equity investors, lender and other creditors in making decisions in their capacity as capital providers to provide a metric for financial information used to determine when the boundary between two or more entities should disregarded and the entities considered to be a licensing arrangement
Don’t answer if you not 100% sure , Do not provide AI generated answer It is wrong 36 In accordance with IAS 32 Financial Instruments: Presentation, which of the following describes an equity instrument? • A contractual obligation to deliver cash or another financial asset to another entity • A contract which is evidence of a residual interest in the assets of an entity after deducting all of its liabilities • A contractual right to exchange financial instruments with another entity under potentially favourable conditions • A contract which gives rise to both a financial asset of one entity and a financial liability of another
QUESTION 41 Which one of the following is violated when a firm reports its long-term debt at the present value of the cash flows associated with that debt? Matching No violations occurred. This accounting is correct. Revenue recognition Gross value of the debt