Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

16- US GAAP and the IFRS differ on their definition of financial assets in that only the IFRS defines it as: a) An equity instrument

16- US GAAP and the IFRS differ on their definition of financial assets in that only the IFRS defines it as:

a) An equity instrument (of anther entity)

b) A contractual right to receive cash

c)There is no difference in the definition between US GAAP and the IFRS

17- Under IFRS, a lease is not an operating lease and is classified as capital lease when:

a) 50% or more of its economic life transfers to the lessee

b) Risks and rewards of ownership remain with leaser and transferred to lessee

c)Under the IFRS, there is no distinction between operating and capital lease.

18- Under the IFRS, consistency:

a) Excludes the use of the fair value option

b) Requires an entity to use the same accounting policies at interim and year-end

c) Requires convergence to US GAAP when in doubt of principle

19- Under the IFRS, revenue is recognized in all below situations except one when:

a) Economic benefits are likely

b) Economic benefits are reliable measured

c) Costs are reliable measures

20- Unlike the US GAAP balance sheet, the IFRS:

a)Presents equity before assets

b) Is two columns

c) Does not present goodwill

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Auditing A Business Risk Approach

Authors: Karla Johnstone, Audrey Gramling, Larry Rittenberg

8th edition

538476230, 978-0538476232

More Books

Students also viewed these Accounting questions