SOLUTION MANUAL
Modern Advanced Accounting In Canada,
10th Edition By Darrell Herauf, Chima
Mbagwu,
Chapters 1 - 12, Complete
,
, Chapter1 !m
Conceptual&CaseAnalysisFramewo rk !m !m !m !m !m
s for Financial Reporting
!m !m !m
A brief description of the major points covered in each case and problem.CA
SES
Case 1-1
In this case, students are introduced to the difference in accounting for R&D costs betwee
nIFRS and ASPE and asked to provide arguments to support the differentSstandards.
Case 1-2 (adapted from a case prepared by PeterSSecord, SaintSMary’s University)
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In this real life case, students are asked to discuss the merits of historical costs vs. replacement c
osts. Actual note disclosure from a company’s financial statements is provided as background m
aterial.
Case 1-3 (adapted from a case prepared by Peter Secord, Saint Mary’s University)
!m ! m !m !m !m !m !m !m !m !m !m !m
, A Canadian companyShas just acquired a non-
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controlling interest in a U.S. public company. It must decide whether to use IFRS orSU.S. GAAP f
orSthe U.S. subsidiary. Financial statement information is provided under IFRS and U.S. GAAP. Th
e reasons forSsome of the differences in numbers must be explained and an opinion provided as
to which method best reflects economic reality.
Case 1-4
!m
This case is adapted from a CPA Canada case. A private company is planning to go public. Analy
sis and recommendations are required forSaccounting issues related to purchase and installation
ofSnewSinformation system, revenue recognition, convertible debentures and doubtfulaccounts
receivable.
Case 1-5
!m
This case is adapted from a CPA Canada case. A private company is planning to transition fro
m ASPE to IFRS. Analysis and recommendations are required forSaccounting issues related to c
onvertible debentures, unusual item, revenue recognition, contingency and impairment.
Modern Advanced Accounting In Canada,
10th Edition By Darrell Herauf, Chima
Mbagwu,
Chapters 1 - 12, Complete
,
, Chapter1 !m
Conceptual&CaseAnalysisFramewo rk !m !m !m !m !m
s for Financial Reporting
!m !m !m
A brief description of the major points covered in each case and problem.CA
SES
Case 1-1
In this case, students are introduced to the difference in accounting for R&D costs betwee
nIFRS and ASPE and asked to provide arguments to support the differentSstandards.
Case 1-2 (adapted from a case prepared by PeterSSecord, SaintSMary’s University)
!m ! m !m !m !m !m !m !m !m !m
In this real life case, students are asked to discuss the merits of historical costs vs. replacement c
osts. Actual note disclosure from a company’s financial statements is provided as background m
aterial.
Case 1-3 (adapted from a case prepared by Peter Secord, Saint Mary’s University)
!m ! m !m !m !m !m !m !m !m !m !m !m
, A Canadian companyShas just acquired a non-
!m !m !m !m !m !m
controlling interest in a U.S. public company. It must decide whether to use IFRS orSU.S. GAAP f
orSthe U.S. subsidiary. Financial statement information is provided under IFRS and U.S. GAAP. Th
e reasons forSsome of the differences in numbers must be explained and an opinion provided as
to which method best reflects economic reality.
Case 1-4
!m
This case is adapted from a CPA Canada case. A private company is planning to go public. Analy
sis and recommendations are required forSaccounting issues related to purchase and installation
ofSnewSinformation system, revenue recognition, convertible debentures and doubtfulaccounts
receivable.
Case 1-5
!m
This case is adapted from a CPA Canada case. A private company is planning to transition fro
m ASPE to IFRS. Analysis and recommendations are required forSaccounting issues related to c
onvertible debentures, unusual item, revenue recognition, contingency and impairment.
