21. Rushia Company determines the lar value of the investment is now $3.500.000 and IS USING GAAP for its external financial reporting, which of the following is true? a Bushi is prohibited from recording the recovery in value of the impared investment b. Rahia may record a recovery of $900.000 Bushia may record a recovery of $700,000 d Bushi may record a recovery of $1,600,000 22. Bushia Company determines that the air value of the investment is now 52.900.000 and s using IFRS for its external financial reporting, which of the following is true? a Bushin is prohibited from recording the recovery value of the impaired investment Bushin may record a recovery of $600.000 Bushia may record a recovery of $900.000 & Bushia may record a recovery, but is limted to 80% of the value of the recovery Chapter 19 23 Which of the following is false regarding accounting for defend taxes under FRS? a. A deferred tax lability is classified as current or sure based on the classification of the asset or liability to which creates b. A deferred tax asset is recognized up to the amount that is probable to be realized. Tax effects of certain items are recognized in equity The rate used to compute deferred taxes is other the enacted tax rate, or a substantially enacted tax rate virtually certain 24. Jerome Co has the following deferred tax abilities at December 31, 2021 Amount Related to $100,000 Installment sales expected to be collected in 2022 $350,000 Fixed asset. 10-year remaining set to 2021 tax depreciation exceeds book depreciation $90,000 Prepaid insurance related to 2022 What amount would Jerome Co report as a referred tax liability under IFRS and ERS GAAP a. 30 $450,000 b. 3540.000 $540,000 $350.000 $350,000 d. $540,000 $350,000 25. Alice, Inc. has the following deferred tax assets at December 31, 2020: Amos Bezdte $180.000 Rent revenue collected in advance related to 2021 $75.000 Warranty ability expected to be paid in 2021 $255,000 Accrued liability related to a su expected to settle in 2024 What amount would lice, Inc. report as a current ferred tax asset under IFRS and under GAAP ERS GAAP a $510,000 $510,000 b $0 $0 C $255,000 5510,000 d 5510.000 $255.000 Chapter 20 26 The International Accounting Standards Board has proposed changes to IFRS pension accounting including all of the following except a elimination of smoothing via the corridor proach. different presentation of pension costs in the income statement requiring recognition of actuarial gains and losses over the expected service lives of employees d a new category of pensions for accounting purpose-contribution-based promises