International Financial Reporting Standards:
They are commonly known as IFRS. It is a set of accounting standards which are developed by independent (Non-profit) organization called as International Accounting Standards Board (IASB). It is universally accepted set of standards which states the rules and practice for accounting practice.
Generally Accepted Accounting Principles:
They are commonly known as GAAP. It is a collection of generally practiced and followed rules and standards of accounting. GAAP provides global guidelines for preparation and disclosure of financial statements of public companies. It is created and developed by International Accounting Standards Board (IASB).
To indicate: The letter whether each of the given terms and phrases is more associated with financial statements prepared in accordance with Country U GAAP (U) or IFRS (I).
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Intermediate Accounting
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- Q19 Which of the following statements are correct regarding interest component in the purchase price of bonds? (i) The fair value of a bond purchased cum-interest is the quoted price of the bond on the bond market. (ii) The fair value of a bond purchased cum-interest is the quoted price of the bond on the bond market less interest portion in the bond price (iii) The fair value of a bond purchased cum-interest is the quoted price on the bond market. (iv) The dividend component has no influence in the accounting treatment of the investment in the bonds. Select one: a. (i), (ii) and (iii) only b. (i), (ii), (iii) and (iv) c. (ii) only d. (i) and (iv) onlyarrow_forwardp17 What control implications do a firm’s capital structure decisions have? Issuing too much debt as to cause financial distress. Dilution issues. Choice between debt and equity financing. All of the above.arrow_forwardQ.6 (a): What is treasury stock? Why is it deducted from stockholders equity? Q.6 (b): How is an unconsolidated subsidiary presented on a balance sheet? And describe donated capital?arrow_forward
- Corporate Financial AccountingAccountingISBN:9781305653535Author:Carl Warren, James M. Reeve, Jonathan DuchacPublisher:Cengage Learning