Question
1. Which does not represent a financial liability Multiple Choice Cash dividends payable are dividends declared are reported as a current liability if it is
1. Which does not represent a financial liability
Multiple Choice
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Cash dividends payable are dividends declared are reported as a current liability if it is payable within the coming year.
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Dividends in arrears for preferred shares.
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Bonus that depends on earnings of the current year.
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Payroll taxes and withholdings.
2. A financial liability is classified as FVTPL when:
Multiple Choice
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The company wants to avoid an accounting mismatch.
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The company records the liability at amortized cost.
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The financial liability is recorded as current on the statement of financial position.
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The company expects to settle the liability at some point in the future.
3. When must a loan be reported as 'current'?
Multiple Choice
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If due 18 months after year-end.
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A long term loan that is in covenant breach and an agreement is reached after year-end.
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A long term loan that is in covenant breach and an agreement is reached before year-end.
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A long-term debt with no stated maturity date.
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