What are the key elements of the definition of ‘fair value’? Explain the effects of inclusion of each element in the definition.

Q: What is the purpose of valuation in terms of voluntary assessment?

A: Every organization needs to know the worth value of its assets, business or company.  In other words…

Q: How will we recognise any fair value gain arising from a change in fair value of an investment…

A: Investment Property:   An investment property is a property in the form of land or building that are…

Q: Which of the following elements represents an economic resource? B . Liability.

A: The variables being used to manufacture products or provide services are economic assets. That is to…

Q: Are there circumstances in which the cost method is required under U.S. GAAP but not under IFRS?…

A: IFRS: International Financial Reporting Standard is abbreviated as IFRS. The IFRS is set up to bring…

Q: The fair value of net assets is:

A: Given information is: Fair values: Cash = OMR 80,000 Receivables (Net) = OMR 90,000 Liabilities =…

Q: Describe the approaches for measurement of fair value.

A: When measuring fair value of fixed assets, intangible assets, specified financial assets or…

Q: fair value model for investment property differ from the revaluation model for PPE

A: Fair value model and revaluation model are methods of valuation of non-current assets as per…

Q: What is the empirical evidence on Uncovered Interest Parity?

A: Interest parity can be subdivided into two parts. these parts are: Covered interest parity…

Q: Why allow the fair value option for financial assets and liabilities and not for, say, buildings or…

A:

Q: What is the basis for the estimation of the fair value of the impaired operating resource? For…

A: An asset is said to be impaired if the carrying value or book value of asset is higher than the sum…

Q: "Depreciation is a valuation process that results in the reporting of the fair value of the asset.”…

A: Fixed assets: These are the assets which were used in the business for more than one year. These…

Q: What is meant by depreciable base? How is it determined?

A: Depreciable base: The word depreciable base is used to depict the value that is divided by the…

Q: What is the purpose of valuation in terms of statutory dimension

A: The valuation is done to ensure that the book value of the assets are measured and recorded in…

Q: What amount of gain should be reported as a result of the modification of terms under ifrs?

A: As per the restructuring of terms, 1. Loan reduced by 20% i.e., P3,000,000 * 20% = P 600,000 2. Loan…

Q: why does fair value seeking for an acquisition?

A: Reasonable worth is a term with a few implications in the monetary world. In contributing, it…

Q: What method is used in the Evaluation Phase of fair value?

A: Income Approach

Q: How fair value measurement?

A: Fair Value In Accounting term Fair Value means the recognition of amount which are actually value…

Q: Describe the levels of fair value hierarchy?

A: Fair value:   A value which is determined based on the market situation, business demand, and the…

Q: Define the term Fair Value Hierarchy.

A: Fair value: A value which is determined based on the market situation, business demand, and the…

Q: Is fair representation the same with faithful representation

A: Fair presentation, as per IAS 1, entails the faithful representation of the impacts of events,…

Q: Who bears the costs of appraisal if the fair value ascertained by the appraisers is higher than what…

A: A stockholder can exercise his appraisal rights in case of merger or acquisition of the corporation…

Q: What is the essential concept in understanding compound interest?

A: Compound interest refers to the addition of interest amount to the principal. It is generally…

Q: What is imputed interest, and how does it work

A: The Answer:

Q: Briefly describe the fair value hierarchy.

A: Fair value: A value which is determined based on the market situation, business demand, and the…

Q: Explain Valuation and how can it be useful for determining

A: Valuation is to know how much is assets worth according to market or deciding fair value of assets.…

Q: 17. Which of the following amounts shall not be recognized in profit or loss with respect to…

A: Rental Income from the Investment property shall be recognized in the profit and loss statements as…

Q: Determine the theoretical ex-rights price?

A: The determination of the theoretical ex-rights price is generally done when stocks are issued and…

Q: hat situational circumstances can the Asset-based valuation be

A: Valuation is the process of determining the fair market value of a company's assets or operations.…

Q: Explain about the Hedging against fair value risk.

A: Financial instrument:   It is a monetary contract between two parties which acts as an evidence of…

Q: Under IFRS, how are investment properties subsequently measured? a) The cost…

A: International Accounting Standard 40 on Investment states that the investment property should be…

Q: fair value of an

A: Fair value of ordinary share = Next dividend/(Required rate of return - Growth rate of dividend)

Q: Describe required fair value disclosures.

A: Accounting is primarily concerned with identifying, recording, measuring, summarizing transactions…

Q: n of the following statements' is the fair value model of valuing erty?

A: The answer has been mentioned below.

Q: a) Explain the concepts: Single Entity Concept, Control and Fair value.

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

Q: ds used in fair

A: Fair value: Fair value refers to the amount receivable from sale of an asset, or payable on…

Q: Explain the fair value option.

A: Fair Value Option: It is a process of measuring the financial assets and liabilities using the fair…

Q: What are the three types of valuation techniques can be used to measure fair value?

A: Fair value: Fair value refers to the amount receivable from sale of an asset, or payable on…

Q: Describe the Costs of Defending Intangible Rights.

A: Introduction Intangible assets are the assets that cannot be seen physically, but its' presence in…

Q: How much is the fair market value of the equipment which B contributed?

A: Partnership is a form of business in which partners agree to contribute capital into partnership and…

Q: how to compute in simplest form the non controlling interest using fair value method and…

A: Non-Controlling Interest Non-controlling interest or minority interest situation occurs when an…

Q: s it true that legal enforceability of a right, for example ownership, is necessary for control over…

A: Legally enforceable right states that the right to set off need to be contingent on the future event…

Q: b) Briefly describe how the fair value model, as allowed by LAS 40, is applied.

A: As per IAS 40 Investment property,  Investment property is property held to earn rental revenue or…