FINANCIAL ACCOUNTING 9TH
16th Edition
ISBN: 9781308821672
Author: Libby
Publisher: MCG/CREATE
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Textbook Question
Chapter A, Problem 1ME
Matching Measurement and Reporting Methods
Match the following. Answers may be used more than once:
| Measurement Method | |
| A. Amortized cost | — 1. Less than 20 percent ownership. |
| B. Equity method | — 2. Current fair value. |
| C. Acquisition method and consolidation | — 3. More than 50 percent ownership. |
| D. Fair value method | — 4. At least 20 percent but not more than 50 percent ownership. — 5. Bonds held to maturity. — 6. Original cost less any amortization of premium or discount with the purchase. — 7. Original cost plus proportionate part of the income of the affiliate less proportionate part of the dividends declared by the affiliate. |
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A gain or loss from debt restructuring should be
A. treated as increase or decrease in Paid-in Capital
B. recognized in income of the period of restructuring
C. amortized over the remaining original life of the restructured loan
D. allocated between the portion that is an increase (decrease) in Paid-in Capital and a portion that is recognized in the current income
The current asset financing policy that calls for matching the maturities of assets with the maturities of
liabilities is known as the
a.
permanent current ratio approach
b.
temporary net working capital approach
C.
conservative approach
d.
self-liquidating approach
e.
aggressive approach
Financial liabilities that are classified as amortized cost are subsequently measured at
A. Partly at profit or loss and partly at other comprehensive income depending on the risk.
B. Fair value with changes in value recognized in other comprehensive income. (FVPL)
C. Fair value which changes in value recognized in profit or loss. (held for trading)
D. The present value of the remaining cash flows of the instrument discounted at the original effective interest rate.
Chapter A Solutions
FINANCIAL ACCOUNTING 9TH
Ch. A - Prob. 1QCh. A - Explain the difference in accounting methods used...Ch. A - Explain how bonds held to maturity are reported on...Ch. A - Explain the application of the cost principle to...Ch. A - Under the fair value method, when and how does the...Ch. A - Under the equity method, why does the investor...Ch. A - Prob. 7QCh. A - Prob. 8QCh. A - Prob. 9QCh. A - Company X owns 40 percent of Company Y and...
Ch. A - Prob. 2MCQCh. A - Dividends received from stock that is reported as...Ch. A - Prob. 4MCQCh. A - Prob. 5MCQCh. A - When using the equity method of accounting, when...Ch. A - Prob. 7MCQCh. A - Prob. 8MCQCh. A - Which of the following is true regarding the...Ch. A - Prob. 10MCQCh. A - Matching Measurement and Reporting Methods Match...Ch. A - Prob. 2MECh. A - Prob. 3MECh. A - Prob. 4MECh. A - Prob. 5MECh. A - Prob. 6MECh. A - Prob. 7MECh. A - Prob. 8MECh. A - Prob. 9MECh. A - Prob. 10MECh. A - Prob. 11MECh. A - Prob. 1ECh. A - Prob. 2ECh. A - Recording Transactions in the Available-for-Sale...Ch. A - Prob. 4ECh. A - Prob. 5ECh. A - Reporting Gains and Losses in the Trading...Ch. A - Prob. 7ECh. A - Prob. 8ECh. A - Prob. 9ECh. A - Prob. 10ECh. A - Prob. 11ECh. A - Prob. 1PCh. A - Prob. 2PCh. A - Prob. 3PCh. A - Prob. 4PCh. A - Prob. 5PCh. A - Comparing Methods to Account for Various Levels of...Ch. A - Prob. 7PCh. A - Recording Investments for Significant Influence LO...Ch. A - Prob. 9PCh. A - Prob. 10PCh. A - Prob. 11PCh. A - Prob. 1APCh. A - Prob. 2APCh. A - Reporting Passive Investments During January 2017,...Ch. A - Prob. 4APCh. A - Prob. 5APCh. A - Prob. 6APCh. A - Prob. 1CONCh. A - Finding Financial Information Refer to the...Ch. A - Prob. 2CPCh. A - Prob. 3CPCh. A - Prob. 4CPCh. A - Prob. 5CPCh. A - Prob. 6CP
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