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1. What anount should be reported as total assets after restatement for hyperinflation?  a. 5,150,000 b. 3,950,000 c. 4,800,000 d. 4,850,000 2. What amount should be reported as total liabilities after restatement for hyperinflation?  a. 2,400,000 b. 1,200,000 c. 1,325,000  d. 1,500,000  3. What amount should be reported as retained earnings after adjusting for hyperinflation? a. 2,350,000 b. 2,750,000 c. 3,550,000 d. 2,625,000

1. What anount should be reported as total assets after restatement for hyperinflation?  a. 5,150,000 b. 3,950,000 c. 4,800,000 d. 4,850,000 2. What amount should be reported as total liabilities after restatement for hyperinflation?  a. 2,400,000 b. 1,200,000 c. 1,325,000  d. 1,500,000  3. What amount should be reported as retained earnings after adjusting for hyperinflation? a. 2,350,000 b. 2,750,000 c. 3,550,000 d. 2,625,000

Fundamentals of Financial Management, Concise Edition (with Thomson ONE - Business School Edition, 1 term (6 months) Printed Access Card) (MindTap Course List)
Fundamentals of Financial Management, Concise Edition (with Thomson ONE - Business School Edition, 1 term (6 months) Printed Access Card) (MindTap Course List)
8th Edition
ISBN:9781285065137
Author:Eugene F. Brigham, Joel F. Houston
Publisher:Eugene F. Brigham, Joel F. Houston
Chapter13: Capital Structure And Leverage
Section: Chapter Questions
Problem 13P
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1. What anount should be reported as total assets after restatement for hyperinflation? 
a. 5,150,000

b. 3,950,000

c. 4,800,000

d. 4,850,000

2. What amount should be reported as total liabilities after restatement for hyperinflation? 
a. 2,400,000

b. 1,200,000

c. 1,325,000 

d. 1,500,000 

3. What amount should be reported as retained earnings after adjusting for hyperinflation?

a. 2,350,000

b. 2,750,000

c. 3,550,000

d. 2,625,000

Problem 22-4 (IFRS) Zeus Company was operating in a hyperinflationary economy and provided the following statement of financial position of December 31, 2021: Property, plant and equipment Inventory Cash Share capital issued December 31, 2017 Noncurrent liabilities Current liabilities Retained earnings 0000, 2,700,000 350,000 400,000 2,350,000 The general price index had moved on December 31 of each year: 2017-100, 2018-130, 2019-150, 2020-240 and 2021-300. The property, plant and equipment were purchased on December 31, 2019. The noncurrent liabilities were loans raised on December 31,2020. 1. What amount should be reported as total assets after restatement for hyperinflation? a. 5,150,000 b. 3,950,000 e.. 4,800,000 d. 4,850,000 s? 2. What amount shoulld be reported as total liabilities after restatement for hyperinflation? a. 2,400,000 b. 1,200,000 c. 1,325,000 d. 1,500,000 Sax 3. What amount should be reported as retained earninge after adjusting for hyperinflation? a. 2,350,000 b. 2,750,000 c. 3,550,000 d. 2,625,000 689
Transcribed Image Text:Problem 22-4 (IFRS) Zeus Company was operating in a hyperinflationary economy and provided the following statement of financial position of December 31, 2021: Property, plant and equipment Inventory Cash Share capital issued December 31, 2017 Noncurrent liabilities Current liabilities Retained earnings 0000, 2,700,000 350,000 400,000 2,350,000 The general price index had moved on December 31 of each year: 2017-100, 2018-130, 2019-150, 2020-240 and 2021-300. The property, plant and equipment were purchased on December 31, 2019. The noncurrent liabilities were loans raised on December 31,2020. 1. What amount should be reported as total assets after restatement for hyperinflation? a. 5,150,000 b. 3,950,000 e.. 4,800,000 d. 4,850,000 s? 2. What amount shoulld be reported as total liabilities after restatement for hyperinflation? a. 2,400,000 b. 1,200,000 c. 1,325,000 d. 1,500,000 Sax 3. What amount should be reported as retained earninge after adjusting for hyperinflation? a. 2,350,000 b. 2,750,000 c. 3,550,000 d. 2,625,000 689
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