TA 317 -TA 318 || All Answers are Valid.
An event that gives rise to a present obligation, but which cannot be measured with sufficient
reliability is an example of a(n)
A. Accrual
B. Provision
C. Liability
D. Contingent Liability correct answers D
Under PAS 37, provision are liabilities of
A. Certain timing or amount
B. Uncertain timing or amount
C. Uncertain timing but certain amount
D. Uncertain amount but certain timing correct answers B
PAS 37 requires a provision based on a range of possible outcomes to be measured on
A. Midpoint of the range
B. Minimum of the range
C. Maximum of the range
D. Best estimate of the expenditure correct answers D
For bonds payable, the cash interest paid in each interest period is
A. The same amount regardless of whether the bonds were sold at a discount or a premium
, B. Not the same amount when the stated and yield interest rates are different
C. Dependent on the initial amount of accrued interest
D. Different depending upon the date of sale correct answers A
If a bond was sold at 105, then the stated rate of interest was
A. Equal to market rate
B. Not related to market rate
C. Higher than market rate
D. Lower than market rate correct answers C
The bond interest expense for a period is more than interest paid when bonds are sold at
__________
A. a premium
B. par
C. a discount
D. a yield correct answers C
A troubled debt restructuring will generally result in a
A. Loss by both debtor and creditor
B. Gain by both debtor and creditor
C. Loss by the debtor, gain by the creditor
D. Gain by the debtor, loss by the creditor correct answers D
The accounting concept that is principally considered to classify leases into operating and
finance is
An event that gives rise to a present obligation, but which cannot be measured with sufficient
reliability is an example of a(n)
A. Accrual
B. Provision
C. Liability
D. Contingent Liability correct answers D
Under PAS 37, provision are liabilities of
A. Certain timing or amount
B. Uncertain timing or amount
C. Uncertain timing but certain amount
D. Uncertain amount but certain timing correct answers B
PAS 37 requires a provision based on a range of possible outcomes to be measured on
A. Midpoint of the range
B. Minimum of the range
C. Maximum of the range
D. Best estimate of the expenditure correct answers D
For bonds payable, the cash interest paid in each interest period is
A. The same amount regardless of whether the bonds were sold at a discount or a premium
, B. Not the same amount when the stated and yield interest rates are different
C. Dependent on the initial amount of accrued interest
D. Different depending upon the date of sale correct answers A
If a bond was sold at 105, then the stated rate of interest was
A. Equal to market rate
B. Not related to market rate
C. Higher than market rate
D. Lower than market rate correct answers C
The bond interest expense for a period is more than interest paid when bonds are sold at
__________
A. a premium
B. par
C. a discount
D. a yield correct answers C
A troubled debt restructuring will generally result in a
A. Loss by both debtor and creditor
B. Gain by both debtor and creditor
C. Loss by the debtor, gain by the creditor
D. Gain by the debtor, loss by the creditor correct answers D
The accounting concept that is principally considered to classify leases into operating and
finance is
