Question 3. Classify each of the following accounts as (a) asset, (b) liability, or (c) equity. a.→Defined benefit obligation b.→Plan asset C.»Right-of-use asset d.→Contract asset e.→Unearned revenue f.+Deferred tax asset g.-Accumulated other comprehensive losse

Question 3. Classify each of the following accounts as (a) asset, (b) liability, or (c) equity. a.→Defined benefit obligation b.→Plan asset C.»Right-of-use asset d.→Contract asset e.→Unearned revenue f.+Deferred tax asset g.-Accumulated other comprehensive losse

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Q: How should you record a capital expenditure? a. Debit a liability b. Debit capital c. Debit an…

Q: - Statement 1: An entity shall capitalize borrowing costs that are indirectly attributable to the…

A: As per the accounting standards, borrowing costs such as interest etc are to be capitalized if they…

Q: A resource owned by the business with purpose of using it for generating future profit, is known as…

A: Assets: Anything of worth or a resource of value that may be turned into cash is referred to as an…

Q: Which of the following are recognized in other comprehensive income? service cost

A: The other comprehensive income includes the revenues and expenses of the company. The assets and…

Q: true or false The net defined benefit liability/asset that is presented in the balance sheet is the…

A: True. Net defined benefit liability /asset is the difference between Present Value of Defined…

Q: Statement 1: When the residual value is guaranteed by the lessee, the lessor shall include the same…

A: As per IFRS 16, Leases A Gross investment in the lease is = lease payments receivable by lessor in…

Q: GAAP provides guidelines for the inclusion of interest in the initial cost of a self-constructed…

A: 1.

Q: Any amount by which capital at the end of a period exceeds the amount required to maintain opening…

A: Any amount by which capital at the end of a period exceeds the amount required to maintain opening…

Q: process of incorporating

A: Option a is wrong because one of the options is correct. Option b is wrong because de-recognition…

Q: Evaluate the following statements: S1. Capitalization of borrowing cost is mandatory for a…

A: As per IAS 23 "Borrowing cost", all the borrowing cost related to acquisition or construction or…

Q: 1. Which of the following are recognized as a liability? I. Cash dividends payable II. Scrip…

A: Note:- Since you have asked multiple questions, we will solve the first question for you. If you…

Q: The difference between book value of the asset with the proceeds received from its sale, will…

A: The book value of the asset is the cost of the asset less accumulated depreciation.

Q: The statement of profit or loss and other comprehensive income shall present

A: Profit or loss and other comprehensive income: this is a statement prepared by the company for…

Q: 3. Statement 1: An entity shall begin.capitalizing borrowing costs as part of the cost of qualifying…

A: Answer is Option c) Both the statements are correct

Q: the inflows and outflows method, the following are considered exceptional inflows: A) Interest…

A: Inflows and outflows method specifies the process of evaluating all the desired cash that comes into…

Q: Direction: Choose the correct answer. 1. A provision is a. An event which is not recognized…

A: We’ll answer the first question since the exact one wasn’t specified. Please submit a new question…

Q: _________________ is the excess of current assets over the current liability of the concern during a…

A: Working is the difference between aggregate of all current assets minus current liabilities

Q: Compare and contrast how book (GAAP) depreciation expense vs. MACRS depreciation deductions are…

A: GAAP : Generally Accepted Accounting principles MACRS: Modified Accelerated Cost Recovery System.

Q: In a case of low value asset exemption, rent paid in advance by the lessee should be treated as O…

A: Rent paid in Advance by the lessee shall be classified as Prepaid Rent.. Option Prepaid Rent is…

Q: Estimated discount on property taxes is considered to be assets contra account .a FALSE .b TRUE

A: Property taxes are the amount of obligations or dues to the authorities for holding property of any…

Q: n a restated set of financial statements prepared in accordance with the current cost accounting,…

A: Realized gain is the gain on sale of the asset where its cost price is less than the selling price.…

Q: under the conceptual framework for internationai financial reporting a non-contraling interest fits…

A: Non-controlling interest Non-controlling interest is also referred to as the minority interest…

Q: Multiple choice: 1. It is a present obligation that has resulted from past events and has the…

A: Hi student Since there are multiple questions, we will answer only first question.

Q: 1- Debt investment are initially recorded at: а- Cost b- Cost plus accrued interest c- Fair value d-…

A: Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: The rights of financial claim to the assets are called equities Question 9 options: True…

A: The answer is stated below:

Q: 7. How is the valuation of current assets affected if th OValuation is based on historical cost.…

A: Current assets are the assets that provide the financial benefit over a year. If the assets is held…

Q: Which of the following is not included under other income? a. Rent received b. Commission received…

A: OTHER INCOME: IT IS THE INCOME THAT DOES NOT COME FROM THE FIRMS MAIN BUSINESS.

Q: Use U.S. GAAP to determine how to subsequently measure the ten financial assets in requirement 1.…

A: 1). All stand-alone derivatives are classified under the Fair Valu through Profit and Loss (FVTPL)…

Q: The following investments are provided to you: Asset 1: Debt investment measured at FVPL Asset 2:…

A: As per IFRS 9 "Financial Instruments" Financial Assets which are measured at Amortized Cost or…

Q: 1. How do we decide whether to capitalize (record as an asset) or expense a particular cost? 2.…

A: ANSWER Cost: The cost of the long-lived assets refers to all the expenditures made in order to…

Q: Which one of the following category prepaid expenses belong to?

A: Current assets are the assets of the company that are expected to be consumed through standard…

Q: 20. Which of the following equation is TRUE? A. Asset + Capital = Liability Asset + Expense –…

A: Accounts are generally classified into 5 categories: Assets account Liabilities account Capital…

Q: Which of the following is correct? Under the Assets test, the reportable segments are A, B, C O…

A: Introduction:- The following conditions satisfy for segment reporting as follows under:- 10% of the…

Q: 1. Statement 1: Measurement period is relevant if Fair Value of Net Assets of acquiree includes the…

A: According to IFRS 3 : It includes transaction or an event in which acquirer obtains control over…

Q: 11. Which type of financial assets are purchased only with the intent of selling them in the near…

A: FVTPL is subsequently measured at fair value Any gain and loss in the fair value measurement to be…

Q: Identity the economic resource that has the ability to give economic benefits___________ a. Capital…

A: Asset is an economic resource that has the ability to give economic benefits... option D asset is…

Q: 8. Income is: a. An amount for payment of services, interest, or profit from investment b. The…

A: Income is the excess of revenue over expenditures.

Q: 1. All of the following are components of the defined benefit cost except * unvested past service…

A: Solution Note Dear student as per the Q&A guideline we are required to answer the first question…

Q: Consider the following graph. According to CAPM, which of the following assets is overpriced?…

A: The securities existing below the slope of security market line represents that portfolio doesn't…

Q: __________ is defined in the Conceptual Framework as ‘a present obligation of the entity to transfer…

A: The accounting process includes the bookkeeping process which involves the journal entry of the…

Q: Statement 1: Acquisition of premiums increases the total asset account of the entity. Statement 2:…

A: The question is related to acquisition of business. The difference between the price actually paid…

Q: Residual interest in the asset of an entity that remains after deducting its liabilities is? a.…

A: Accounting Equation - Accounting Equation is calculated using following equation - Assets =…

Q: I. The amount of borrowing costs that an entity capitalizes during a value, the carrying amount is…

A: As per IND AS 23, borrowing cost eligible for capitalization= Borrowing cost incurred- investment…

Q: tatement 1: Measurement period is relevant if Fair Value of Net Assets of acquiree includes the…

A: While Acquiring Assets and Liabilities Acquirer does not recognize contingent assets acquired in a…

Question

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

Which among the following suits best for Unearned revenue? a. Liability b. Expense c. Revenue d. Asset
(2, 7) Helping tags: Accounting, Intermediate Accounting . . . WILL UPVOTE, just pls help me answer the question and show complete solutions. Thank you! 1. The information on the defined benefit plan is provided in the picture. a) How much is the remeasurement on asset ceiling to be reported in OCI? b) What is the interest on asset ceiling?
true or false The net defined benefit liability/asset that is presented in the balance sheet is the difference between the FVTA and the PV of DBO, subject to the asset ceiling if appropriate.
Which of the following is reported in profit or loss in accordance with PAS 1?I. Sales revenue II. Impairment lossIII. Interest income IV. Re-measurement loss on defined benefit plans Group of answer choices I and II only III and IV only II, III and IV only I, II, and III only I, II, III and IV
1. All of the following are components of the defined benefit cost except * unvested past service cost interest on the effect of the asset ceiling loss on settlement return on plan assets 2. Which of the following are recognized in other comprehensive income? service cost net interest in net defined benefit liability (asset) amortization of actuarial gains or losses difference between interest income on plan assets and return on plan assets 3. The balance of the present value of defined benefit obligation is affected by all of the following except * actuarial gains or losses interest cost current service cost contributions to the fund 4. If the present value of the defined benefit obligation exceeds the fair value of the plan assets, there is * deficit surplus expense prepaid accrued benefit cost
Which one of the following category unearned revenue belong to? a. Limited liability b. Current liability c. Lon-term liability d. Contingent liability
In accordance with PAS 1, the profit or loss section or the statement of profit or loss shall include line item for gains and losses from derecognition of Group of answer choices Financial assets measured at fair value through profit or loss. Financial assets measured at amortized cost. All of these. Financial assets measured at fair value through other comprehensive income.
(3, 5, 8 ) Helping tags: Accounting, Intermediate Accounting . . . WILL UPVOTE, just pls help me answer the question and show complete solutions. Thank you! 1. The information on the defined benefit plan is provided in the picture. a) What is the net defined asset or liability on the beginning of the period? b) How much is the defined benefit cost reported in profit or loss? c) What is the net defined asset or liability at the end of the period?
3. Transaction costs incurred the effective interest rate to be used for amortization of an investment in debt security accounted for as A. Increase; Fair value through profit or loss Decrease; Amortized cost C. Increase; Fair value through other comprehensive income D. Does not affect; Amortized cost В.
Which of the application of of a. Presenting a the related s b. Deducting fe gains and pr c. Deducting u trading secu d. Deducting a account and
-1) Write down at least two examples for :AssetLiabilityCapital or Owners EquityRevenue Expense
Multiple choice: 1. It is a present obligation that has resulted from past events and has the potential to cause a transfer of an economic resource in its settlement. A. income B. asset C. equity D. liability 2. The usefulness of information is assessed in terms of its A. qualitative characteristics. B. timeliness C. verifiability D. size