Hi - Please show working and calculations..

1.)The following inventory information was taken from the records of Kleinfeld Inc.:

Historical cost $12,000

Replacement cost $7,000

Expected selling price $9,000

Expected selling cost $500

Normal profit margin 10% of price

a.)Assume that subsequent to your adjustment the expected selling price increases to $13,000. (All the rest of the facts are the same.) What adjustment to inventory should be made under IAS 2 after this event?

A) Inventory should be increased (debited) by $3,500.

B) Inventory should be increased (debited) by $4,000.

C) No adjustment should be made to inventory once it is written down.

D) Inventory should be increased (debited) by $1,000.

b.)Under U.S. GAAP, what should the Balance Sheet report for Inventory?

A) $9,000

B) $8,500

C) $7,600

D) $10,000

2.)The following inventory information was taken from the records of a foreign corporation

whose stock is listed on an exchange in the U.S.

Historical cost $15,000

Replacement cost $11,000

Expected selling price $13,500

Expected selling cost $800

Normal profit margin $2,500

How will income under the U.S. GAAP compare to income the company reported under

IFRS after reconciliation?

A) Income will not be affected by the reconciliation.

B) Income under U.S. GAAP will be lower by $1,700.

C) Income under U.S. GAAP will be lower by $2,500.

D) Income under U.S. GAAP will be equal to income under IFRS.

3.)The following information was taken from the fixed asset records of Bosco Ltd. as of December 31, 2010: Carrying value $100,000 Selling price $85,000 Cost of disposal $3,000 Expected future cash flows $75,000 Present value of expected future cash flows $63,000 Required:

What is the amount of Impairment Loss under U.S. GAAP?

A) 37,000

B) 18,000

C) 15,000

D) 25,000

Using IAS 36, what is the recoverable amount?

A) 85,000

B) 82,000

C) 63,000

D) 75,000

Under U.S. GAAP, if the carrying value was $50,000, the undiscounted expected future

cash flows was $55,000, the discounted expected future cash flows was $51,000 and the selling price was $53,000, what is the amount of Impairment Loss?

A) $5,000

B) $3,000

C) $1,000

D) $0