IFRS Test 2 with verified solutions
a |present |economic |resource |controlled |by |the |entity |as |a |result |of |past |events |- |VERIFIED |
ANSWERS |**✔IASB's |defintion |of |an |asset
a |right |that |has |the |potential |to |produce |economic |bneefits |- |VERIFIED |ANSWERS |**✔economic |
resource
a |present |obligation |of |the |entity |to |transfer |an |economic |resource |as |a |result |of |past |events |- |
VERIFIED |ANSWERS |**✔liability
a |liability |occurs |under |IASB |when: |- |VERIFIED |ANSWERS |**✔no |practical |ability |to |avoid |the |
transfer |
the |obligation |arises |from |past |events
the |residual |interest |in |the |assets |of |the |entity |after |deducting |all |its |liabilites |- |VERIFIED |ANSWERS
|**✔equity
increases |in |assets |or |decreases |in |liabilities |that |result |in |increases |in |equity |- |VERIFIED |ANSWERS |
**✔income
decrease |in |assets |or |increases |in |liabilites |that |result |in |decreases |in |equity |- |VERIFIED |ANSWERS |
**✔expenses
both |income |and |expenses |are |other |than |those |relating |to |- |VERIFIED |ANSWERS |**✔contributions |
from/distributions |to |holders |of |equity |claims
Without |the |clause: |both |income |and |expense |are |other |than |those |relating |to |contributions |
from/distribution |to |holders |of |equity |claims |dividends |would |be |an |- |VERIFIED |ANSWERS |
**✔expnese
Two |categories |of |measurement |under |IASB |- |VERIFIED |ANSWERS |**✔historical |cost |
,current |value
provides |information |derived |from |the |transaction |or |event |that |created |them |- |VERIFIED |ANSWERS
|**✔historical |cost
provides |information |that |is |updated |to |reflect |conditions |at |the |measurement |date |- |VERIFIED |
ANSWERS |**✔current |value
the |price |that |would |be |received |to |sell |an |asset |or |paid |to |transfer |a |liability |- |VERIFIED |ANSWERS
|**✔fair |value
present |value |of |cash |flows |expected |from |continuing |use/fulfilment |- |VERIFIED |ANSWERS |
**✔value |in |use |(asset) |or |fulfilment |value |(liability)
recoverable |cost |of |the |unconsumed |part |of |an |asset |- |VERIFIED |ANSWERS |**✔the |historical |cost |
for |the |financial |position
price |that |would |be |received |to |transfer |the |asset |- |VERIFIED |ANSWERS |**✔the |fair |value |at |the |
financial |position
the |present |value |of |estimated |cash |flows |from |continuing |use |- |VERIFIED |ANSWERS |**✔value |in |
use |for |the |financial |position
past |costs |consumed |in |current |period |- |VERIFIED |ANSWERS |**✔the |historical |cost |for |reporting |
resources |consumed |in |the |period
the |value |at |time |of |consumptiion |of |resources |consumed |- |VERIFIED |ANSWERS |**✔the |fair |value |
for |reporting |resources |consumed |in |the |period
the |cost |at |time |of |performance |of |resources |consumed |- |VERIFIED |ANSWERS |**✔the |value |in |use |
for |reporting |resources |consumed |in |the |period
, if |changes |in |measurement |are |caused |by |impairment |or |passage |of |time |use |the |- |VERIFIED |
ANSWERS |**✔historical |cost
if |changes |in |measurment |are |caused |by |impairment; |changes |in |interest |rates, |cash |flow |
estimates, |amount |of |risk |or |price |use |the |- |VERIFIED |ANSWERS |**✔fair |value |or |vlaue |in |use
refinanced |short |term |debt |is |normally |classified |under |GAAP |as |___ |___; |but |under |IFRS |if |it |is |
refinanced |prior |to |the |B/S |date |it |is |classified |as |_____. |US |GAAP |allows |it |to |be |considered |LT |if |it
|is |_____ |or |____ |prior |to |the |B/S/ |date |- |VERIFIED |ANSWERS |**✔short |term |
long |term |
refinanced
classified |as |a |current |liability |unless |a |waiver |is |issued |by |the |lender |by |the |balance |sheet |date |
extending |a |grace |period |of |more |than |12 |months |by |the |balance |sheet |date |for |IFRS |- |VERIFIED |
ANSWERS |**✔amount |payable |on |demand |due |to |violation |of |debt |covenant
For |GAAP |if |the |waiver |is |obtained |by |the |___ |date |the |amount |payable |on |demand |due |to |
violation |of |debt |covenant |can |be |treated |as |long |term
FOR |IFRS |it |must |be |by |the |- |VERIFIED |ANSWERS |**✔issuance |
B/S |date |extedning |a |grace |period |of |> |12 |months
Overdrafts |under |GAAP |are |always |considered |to |be |__ |____
OVer |drafts |under |IFRS |can |- |VERIFIED |ANSWERS |**✔current |liabilites |
sometimes |be |netted |against |cash
U.S. |GAAP |only |uses |the |term |contingent |liability |
IFRS |breaks |the |term |into |- |VERIFIED |ANSWERS |**✔provision |and |contingent |liability
liability |of |uncertain |timing |or |amount |- |VERIFIED |ANSWERS |**✔provision
a |POSSIBLE |obligation |whose |existence |will |be |confirmed |by |the |occurence |or |non-occurence |of |
future |events |- |VERIFIED |ANSWERS |**✔contingent |liability
a |present |economic |resource |controlled |by |the |entity |as |a |result |of |past |events |- |VERIFIED |
ANSWERS |**✔IASB's |defintion |of |an |asset
a |right |that |has |the |potential |to |produce |economic |bneefits |- |VERIFIED |ANSWERS |**✔economic |
resource
a |present |obligation |of |the |entity |to |transfer |an |economic |resource |as |a |result |of |past |events |- |
VERIFIED |ANSWERS |**✔liability
a |liability |occurs |under |IASB |when: |- |VERIFIED |ANSWERS |**✔no |practical |ability |to |avoid |the |
transfer |
the |obligation |arises |from |past |events
the |residual |interest |in |the |assets |of |the |entity |after |deducting |all |its |liabilites |- |VERIFIED |ANSWERS
|**✔equity
increases |in |assets |or |decreases |in |liabilities |that |result |in |increases |in |equity |- |VERIFIED |ANSWERS |
**✔income
decrease |in |assets |or |increases |in |liabilites |that |result |in |decreases |in |equity |- |VERIFIED |ANSWERS |
**✔expenses
both |income |and |expenses |are |other |than |those |relating |to |- |VERIFIED |ANSWERS |**✔contributions |
from/distributions |to |holders |of |equity |claims
Without |the |clause: |both |income |and |expense |are |other |than |those |relating |to |contributions |
from/distribution |to |holders |of |equity |claims |dividends |would |be |an |- |VERIFIED |ANSWERS |
**✔expnese
Two |categories |of |measurement |under |IASB |- |VERIFIED |ANSWERS |**✔historical |cost |
,current |value
provides |information |derived |from |the |transaction |or |event |that |created |them |- |VERIFIED |ANSWERS
|**✔historical |cost
provides |information |that |is |updated |to |reflect |conditions |at |the |measurement |date |- |VERIFIED |
ANSWERS |**✔current |value
the |price |that |would |be |received |to |sell |an |asset |or |paid |to |transfer |a |liability |- |VERIFIED |ANSWERS
|**✔fair |value
present |value |of |cash |flows |expected |from |continuing |use/fulfilment |- |VERIFIED |ANSWERS |
**✔value |in |use |(asset) |or |fulfilment |value |(liability)
recoverable |cost |of |the |unconsumed |part |of |an |asset |- |VERIFIED |ANSWERS |**✔the |historical |cost |
for |the |financial |position
price |that |would |be |received |to |transfer |the |asset |- |VERIFIED |ANSWERS |**✔the |fair |value |at |the |
financial |position
the |present |value |of |estimated |cash |flows |from |continuing |use |- |VERIFIED |ANSWERS |**✔value |in |
use |for |the |financial |position
past |costs |consumed |in |current |period |- |VERIFIED |ANSWERS |**✔the |historical |cost |for |reporting |
resources |consumed |in |the |period
the |value |at |time |of |consumptiion |of |resources |consumed |- |VERIFIED |ANSWERS |**✔the |fair |value |
for |reporting |resources |consumed |in |the |period
the |cost |at |time |of |performance |of |resources |consumed |- |VERIFIED |ANSWERS |**✔the |value |in |use |
for |reporting |resources |consumed |in |the |period
, if |changes |in |measurement |are |caused |by |impairment |or |passage |of |time |use |the |- |VERIFIED |
ANSWERS |**✔historical |cost
if |changes |in |measurment |are |caused |by |impairment; |changes |in |interest |rates, |cash |flow |
estimates, |amount |of |risk |or |price |use |the |- |VERIFIED |ANSWERS |**✔fair |value |or |vlaue |in |use
refinanced |short |term |debt |is |normally |classified |under |GAAP |as |___ |___; |but |under |IFRS |if |it |is |
refinanced |prior |to |the |B/S |date |it |is |classified |as |_____. |US |GAAP |allows |it |to |be |considered |LT |if |it
|is |_____ |or |____ |prior |to |the |B/S/ |date |- |VERIFIED |ANSWERS |**✔short |term |
long |term |
refinanced
classified |as |a |current |liability |unless |a |waiver |is |issued |by |the |lender |by |the |balance |sheet |date |
extending |a |grace |period |of |more |than |12 |months |by |the |balance |sheet |date |for |IFRS |- |VERIFIED |
ANSWERS |**✔amount |payable |on |demand |due |to |violation |of |debt |covenant
For |GAAP |if |the |waiver |is |obtained |by |the |___ |date |the |amount |payable |on |demand |due |to |
violation |of |debt |covenant |can |be |treated |as |long |term
FOR |IFRS |it |must |be |by |the |- |VERIFIED |ANSWERS |**✔issuance |
B/S |date |extedning |a |grace |period |of |> |12 |months
Overdrafts |under |GAAP |are |always |considered |to |be |__ |____
OVer |drafts |under |IFRS |can |- |VERIFIED |ANSWERS |**✔current |liabilites |
sometimes |be |netted |against |cash
U.S. |GAAP |only |uses |the |term |contingent |liability |
IFRS |breaks |the |term |into |- |VERIFIED |ANSWERS |**✔provision |and |contingent |liability
liability |of |uncertain |timing |or |amount |- |VERIFIED |ANSWERS |**✔provision
a |POSSIBLE |obligation |whose |existence |will |be |confirmed |by |the |occurence |or |non-occurence |of |
future |events |- |VERIFIED |ANSWERS |**✔contingent |liability