SOLUTION MANUAL
Modern Advanced Accounting In Canada
0th Edition By Darrell Herauf, Chima
!
Mbagwu
Chapters - 2, Complete
! !
,
, Chapter !
Conceptual & Case Analysis
Frameworks for Financial Reporting
A brief description of the major points covered in each case and problem.CA
SES
Case -! !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 -2 (adapted from a case prepared by PeterSSecord, SaintSMary’s University)
!
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 -3 (adapted from a case prepared by Peter Secord, Saint Mary’s University)
!
, A Canadian companyShas just acquired a non-
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 -4
!
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 -5
!
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
0th Edition By Darrell Herauf, Chima
!
Mbagwu
Chapters - 2, Complete
! !
,
, Chapter !
Conceptual & Case Analysis
Frameworks for Financial Reporting
A brief description of the major points covered in each case and problem.CA
SES
Case -! !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 -2 (adapted from a case prepared by PeterSSecord, SaintSMary’s University)
!
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 -3 (adapted from a case prepared by Peter Secord, Saint Mary’s University)
!
, A Canadian companyShas just acquired a non-
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 -4
!
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 -5
!
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.
