Re-measurement is restatement of the foreign entity’s financial statements from the local currency that the entity used into foreign entity’s functional currency. Re-measurement is required only when the functional currency is different from the currency used to maintain foreign entity’s books and records. Preparation of proof of the re-measurement gain or loss computed for PC Corporation and subsidiary for December 31, 20X1.

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Answer 1

Question

Chapter 12, Problem 12.8E

a

To determine

Introduction: Re-measurement is restatement of the foreign entity’s financial statements from the local currency that the entity used into foreign entity’s functional currency. Re-measurement is required only when the functional currency is different from the currency used to maintain foreign entity’s books and records.

Preparation of proof of the re-measurement gain or loss computed for PC Corporation and subsidiary for December 31, 20X1.

b

To determine

Introduction: Re-measurement is restatement of the foreign entity’s financial statements from the local currency that the entity used into foreign entity’s functional currency. Re-measurement is required only when the functional currency is different from the currency used to maintain foreign entity’s books and records.

Reporting of the re-measurement gain or loss on PC’s consolidated financial statements and financial statement of foreign subsidiary.

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Students have asked these similar questions

Under PFRS 3, when is a gain recognized in consolidating financial information? a. In a combination created in the middle of the fiscal year b. In an acquisition when the value of all assets and liabilities cannot be determined. c. When any bargain purchased is created d. When the amount of a bargain purchase exceeds the value of the applicable liability held by the acquired company.

To arrive at the U.S. GAAP-based net income fi gures shown in Exhibit 3, Royal Ahold fully consolidated the operating results of the companies in which it held a 50 percent equity interest. For purposes of determining its U.S. GAAP-based net income fi gures, what accounting method should the company have applied to those investments? How would the application of this latter method have affected the U.S. GAAP-based net income amounts?

Which statement is incorrect regarding reclassification of financial assets? A. Reclassifications are only permitted on the change of an entity's business model and are expected to occur only infrequently. B. None of these. C. An entity shall restate any previously recognized gains, losses (including impairment gains or losses) or interest. D. An entity shall account for transfers between categories prospectively, at the beginning of the period after the change in the business model.

Answer 2

Question

Chapter 12, Problem 12.8E

a

To determine

Introduction: Re-measurement is restatement of the foreign entity’s financial statements from the local currency that the entity used into foreign entity’s functional currency. Re-measurement is required only when the functional currency is different from the currency used to maintain foreign entity’s books and records.

Preparation of proof of the re-measurement gain or loss computed for PC Corporation and subsidiary for December 31, 20X1.

b

To determine

Introduction: Re-measurement is restatement of the foreign entity’s financial statements from the local currency that the entity used into foreign entity’s functional currency. Re-measurement is required only when the functional currency is different from the currency used to maintain foreign entity’s books and records.

Reporting of the re-measurement gain or loss on PC’s consolidated financial statements and financial statement of foreign subsidiary.

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Answer 3

Question

Chapter 12, Problem 12.8E

a

To determine

Introduction: Re-measurement is restatement of the foreign entity’s financial statements from the local currency that the entity used into foreign entity’s functional currency. Re-measurement is required only when the functional currency is different from the currency used to maintain foreign entity’s books and records.

Preparation of proof of the re-measurement gain or loss computed for PC Corporation and subsidiary for December 31, 20X1.

b

To determine

Introduction: Re-measurement is restatement of the foreign entity’s financial statements from the local currency that the entity used into foreign entity’s functional currency. Re-measurement is required only when the functional currency is different from the currency used to maintain foreign entity’s books and records.

Reporting of the re-measurement gain or loss on PC’s consolidated financial statements and financial statement of foreign subsidiary.

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Answer 4

Question

Chapter 12, Problem 12.8E

a

To determine

Introduction: Re-measurement is restatement of the foreign entity’s financial statements from the local currency that the entity used into foreign entity’s functional currency. Re-measurement is required only when the functional currency is different from the currency used to maintain foreign entity’s books and records.

Preparation of proof of the re-measurement gain or loss computed for PC Corporation and subsidiary for December 31, 20X1.

b

To determine

Introduction: Re-measurement is restatement of the foreign entity’s financial statements from the local currency that the entity used into foreign entity’s functional currency. Re-measurement is required only when the functional currency is different from the currency used to maintain foreign entity’s books and records.

Reporting of the re-measurement gain or loss on PC’s consolidated financial statements and financial statement of foreign subsidiary.

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Answer 5

Chapter 12, Problem 12.8E

a

To determine

Introduction: Re-measurement is restatement of the foreign entity’s financial statements from the local currency that the entity used into foreign entity’s functional currency. Re-measurement is required only when the functional currency is different from the currency used to maintain foreign entity’s books and records.

Preparation of proof of the re-measurement gain or loss computed for PC Corporation and subsidiary for December 31, 20X1.

b

To determine

Introduction: Re-measurement is restatement of the foreign entity’s financial statements from the local currency that the entity used into foreign entity’s functional currency. Re-measurement is required only when the functional currency is different from the currency used to maintain foreign entity’s books and records.

Reporting of the re-measurement gain or loss on PC’s consolidated financial statements and financial statement of foreign subsidiary.

Answer 6

Chapter 12, Problem 12.8E

a

To determine

Introduction: Re-measurement is restatement of the foreign entity’s financial statements from the local currency that the entity used into foreign entity’s functional currency. Re-measurement is required only when the functional currency is different from the currency used to maintain foreign entity’s books and records.

Preparation of proof of the re-measurement gain or loss computed for PC Corporation and subsidiary for December 31, 20X1.

Answer 7

Chapter 12, Problem 12.8E

a

To determine

Introduction: Re-measurement is restatement of the foreign entity’s financial statements from the local currency that the entity used into foreign entity’s functional currency. Re-measurement is required only when the functional currency is different from the currency used to maintain foreign entity’s books and records.

Preparation of proof of the re-measurement gain or loss computed for PC Corporation and subsidiary for December 31, 20X1.

Answer 8

b

To determine

Introduction: Re-measurement is restatement of the foreign entity’s financial statements from the local currency that the entity used into foreign entity’s functional currency. Re-measurement is required only when the functional currency is different from the currency used to maintain foreign entity’s books and records.

Reporting of the re-measurement gain or loss on PC’s consolidated financial statements and financial statement of foreign subsidiary.

Answer 9

b

To determine

Introduction: Re-measurement is restatement of the foreign entity’s financial statements from the local currency that the entity used into foreign entity’s functional currency. Re-measurement is required only when the functional currency is different from the currency used to maintain foreign entity’s books and records.

Reporting of the re-measurement gain or loss on PC’s consolidated financial statements and financial statement of foreign subsidiary.

Answer 10

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Answer 11

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Answer 12

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Answer 13

Ch. 12 - Prob. 12.1Q Ch. 12 - Prob. 12.2Q Ch. 12 - Prob. 12.3Q Ch. 12 - How widely used are IFRS? Can IFRS be used for...Ch. 12 - Prob. 12.5Q Ch. 12 - Prob. 12.6Q Ch. 12 - Prob. 12.7Q Ch. 12 - Prob. 12.8Q Ch. 12 - Prob. 12.9Q Ch. 12 - Prob. 12.10Q

Solution Summary: The author explains that re-measurement is restatement of the foreign entity's financial statements from the local currency that the entity used into its functional currency.

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