
IAS: IAS means International Accounting Standards which provides framework for presentation of various types of accounting transactions and the related events in the financial statements.
IAS 27: It lays down guidelines for all aspects of consolation of entries and related disclosures.
IAS 28: Investments in Associates describe the accounting for investments in associates. An associate is a business entity over which the investor has got significant influence, has the power to participate in the financial and operating policy decisions of the investee company. It does not have full control but has the joint control over the investee company.
IAS 39: It lays guidelines on all aspects of financial assets and liabilities.
IFRS 9: IFRS is a standard for reporting the financial data of the organization encouraged by the International Accounting Standards Board (IASB). It lays down guidelines on all aspects relating to the accounting for financial instruments. It focuses on Hedge Accounting, Classification and Measurement and Impairment of Financial instruments.
To determine the authoritative IFRS be found related to investments.

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Chapter 17 Solutions
Intermediate Accounting 16E Binder Ready Version With Wiley Plus Blackboard
- Which account is a contra-asset?A. Accounts PayableB. Accumulated DepreciationC. Notes ReceivableD. Prepaid Rentneedarrow_forwardIf cash is received before services are provided, what is the journal entry?A. Debit Revenue, Credit CashB. Debit Unearned Revenue, Credit CashC. Debit Cash, Credit Unearned RevenueD. Debit Accounts Receivable, Credit RevenueCorrectarrow_forwardIf cash is received before services are provided, what is the journal entry?A. Debit Revenue, Credit CashB. Debit Unearned Revenue, Credit CashC. Debit Cash, Credit Unearned RevenueD. Debit Accounts Receivable, Credit Revenuecorrectarrow_forward
- GAP Corp. is a calendar year S corporation with three shareholders. George and Anna each own 49 percent of the stock. Peter owns 2 percent of the stock. The corporation was formed on January 2, Year 1, and has been an S corporation since its inception. Using the exhibits, prepare a schedule of GAP's income, gain, loss, and deduction items for Year 2. In column B, enter the amount for federal income tax purposes. In column C, enter the amount included in GAP's Form 1120S ordinary business income (OBI) or loss. In column D, enter the amount included on GAP's Schedule K as a taxable or deductible separately stated item. Each item may have amounts entered in ordinary business income, separately stated items, or both. Enter income and gain amounts as positive numbers. Enter losses and deductions as negative numbers. If the amount is zero, enter a zero (0). A B C D 1 Income, Gain, Loss, and Deduction Items Amount for Federal Income Tax Purposes Ordinary Business Income…arrow_forwardIf cash is received before services are provided, what is the journal entry?A. Debit Revenue, Credit CashB. Debit Unearned Revenue, Credit CashC. Debit Cash, Credit Unearned RevenueD. Debit Accounts Receivable, Credit Revenue need helparrow_forwardDennis Green and Peter Olinto are equal partners in Foxy Partnership. Peter is an active general partner. Dennis is a limited partner and is not involved in the operations of the business. Foxy Partnership's Year 2 financial statements are provided in the exhibits. Using the information provided, enter the appropriate amounts to be reported on page 1 of Foxy Partnership's income tax return in the table below. Enter all amounts as positive whole values. If a response is zero, enter a zero (0). A B 1 Gross receipts or sales 2 Cost of goods sold 3 Salaries and wages 4 Guaranteed payments to partners 5 Repairs and maintenance 6 Bad debts 7 Rent 8 Depreciation 9 Other deductions 10 Ordinary business income (loss)arrow_forward
- Dennis Green and Peter Olinto are equal partners in Foxy PartneDennis Green and Peter Olinto are equal partners in Foxy Partnership. Peter is an active general partner. Dennis is a limited partner and is not involved in the operations of the business. Foxy Partnership's Year 2 financial statements are provided in the exhibits. Using the information provided, enter the appropriate amounts to be reported on page 1 of Foxy Partnership's income tax return in the table below. Enter all amounts as positive whole values. If a response is zero, enter a zero (0). 2. Cost of goods sold 3. Salaries and wages 4. Guaranteed payments to partners 5. Repairs and maintenance 6. Bad debts 7. Rent 8. Depreciation 9. Other deductions 10. Ordinary business income (loss)arrow_forwardIf a business pays off a loan, which of the following will occur?A. Assets and liabilities increaseB. Assets and liabilities decreaseC. Only liabilities increaseD. Equity decreasesarrow_forwardWhich financial statement lists revenues and expenses?A. Balance SheetB. Cash Flow StatementC. Income StatementD. Retained Earnings Statementneedarrow_forward
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