Test Bank For Intermediate Accounting
(Volume 2), 8th Canadian Edition By Thomas
H. Beechy, Joan E. Conrod, Verified Chapters
12 - 22, Complete Newest Version 2026
,Table of contents
Chapter 12: Financial Liabilities And Provisions
Chapter 13: Financial Instruments: Long-Term Debt
Chapter 14: Shareholders’ Equity
Chapter 15: Financial Instruments: Complex Debt And Equity
Chapter 16: Corporate Income Tax
Chapter 17: Tax Losses
Chapter 18: Leases
Chapter 19: Post-Employment Benefits
Chapter 20: Earnings Per Share
Chapter 21: Accounting Changes
Chapter 22: Financial Statement Analysis
,Test bank for
Intermediate accounting volume 2 8e thomas h. Beechy, joan e.
Conrod, elizabeth farrell, ingrid mcleod-dick, kayla tomulka, romi-lee
sevel chapter 12-22 answers are at the end of each chapter
Chapter 12
Student name:
1) Conceptually, liabilities constitute a present obligation as a result of a past event and
entail an expected future sacrifice of assets or services.
⊚ true
⊚ false
2) Under aspe, only legal obligations are recognized.
⊚ true
⊚ false
3) A reasonable expectation on the part of a company's stakeholders arising from a
company's past practices or behaviour may constitute a constructive obligation in
certain instances.
⊚ true
⊚ false
4) A contingency may become a provision if the likelihood of the contingent event
greatly increases.
⊚ true
⊚ false
5) Under ifrs, most financial liabilities are valued at fair value.
⊚ true
⊚ false
, 6) An improvement to a company's credit rating under ifrs will lead to a
reduction in the carrying amount of any financial liabilities and a gain being
reported in oci.
⊚ true
⊚ false
7) Loan guarantees are only recorded if they are likely to be paid.
⊚ true
⊚ false
8) Accrued liabilities made due to routine operating expenses are not normally discounted.
⊚ true
⊚ false
9) For a small population, the best estimate for the amount of a provision that
must be recognized is the expected value of the possible outcomes.
⊚ true
⊚ false
10) Under ifrs, provisions are always recorded at their expected value.
⊚ true
⊚ false
11) For a large population, the best estimate for the amount of a provision that must
be recognized is the most likely outcome with respect to the expected value and
cumulative probabilities.
⊚ true
⊚ false
12) Under aspe, contingent liabilities which are more likely than not, are accrued at the
lowest end of the range.
⊚ true
⊚ false
(Volume 2), 8th Canadian Edition By Thomas
H. Beechy, Joan E. Conrod, Verified Chapters
12 - 22, Complete Newest Version 2026
,Table of contents
Chapter 12: Financial Liabilities And Provisions
Chapter 13: Financial Instruments: Long-Term Debt
Chapter 14: Shareholders’ Equity
Chapter 15: Financial Instruments: Complex Debt And Equity
Chapter 16: Corporate Income Tax
Chapter 17: Tax Losses
Chapter 18: Leases
Chapter 19: Post-Employment Benefits
Chapter 20: Earnings Per Share
Chapter 21: Accounting Changes
Chapter 22: Financial Statement Analysis
,Test bank for
Intermediate accounting volume 2 8e thomas h. Beechy, joan e.
Conrod, elizabeth farrell, ingrid mcleod-dick, kayla tomulka, romi-lee
sevel chapter 12-22 answers are at the end of each chapter
Chapter 12
Student name:
1) Conceptually, liabilities constitute a present obligation as a result of a past event and
entail an expected future sacrifice of assets or services.
⊚ true
⊚ false
2) Under aspe, only legal obligations are recognized.
⊚ true
⊚ false
3) A reasonable expectation on the part of a company's stakeholders arising from a
company's past practices or behaviour may constitute a constructive obligation in
certain instances.
⊚ true
⊚ false
4) A contingency may become a provision if the likelihood of the contingent event
greatly increases.
⊚ true
⊚ false
5) Under ifrs, most financial liabilities are valued at fair value.
⊚ true
⊚ false
, 6) An improvement to a company's credit rating under ifrs will lead to a
reduction in the carrying amount of any financial liabilities and a gain being
reported in oci.
⊚ true
⊚ false
7) Loan guarantees are only recorded if they are likely to be paid.
⊚ true
⊚ false
8) Accrued liabilities made due to routine operating expenses are not normally discounted.
⊚ true
⊚ false
9) For a small population, the best estimate for the amount of a provision that
must be recognized is the expected value of the possible outcomes.
⊚ true
⊚ false
10) Under ifrs, provisions are always recorded at their expected value.
⊚ true
⊚ false
11) For a large population, the best estimate for the amount of a provision that must
be recognized is the most likely outcome with respect to the expected value and
cumulative probabilities.
⊚ true
⊚ false
12) Under aspe, contingent liabilities which are more likely than not, are accrued at the
lowest end of the range.
⊚ true
⊚ false
