Singletary Associates has accounts receivable due from normal credit customers and also has an account receivable due from a director of the company. Singletary would like to combine both of those receivables on one line in the current assets section of their balance sheet and in the disclosure notes. Is that permissible under U.S. GAAP? Under IFRS? Explain.

Auditing: A Risk Based-Approach (MindTap Course List)
11th Edition
ISBN:9781337619455
Author:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
Publisher:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
Chapter10: Auditing Cash, Marketable Securities, And Complex Financial Instruments
Section: Chapter Questions
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Singletary Associates has accounts receivable due from normal credit customers and also has an account receivable due from a director of the company. Singletary would like to combine both of those receivables on one line in the current assets section of their balance sheet and in the disclosure notes. Is that permissible under U.S. GAAP? Under IFRS? Explain.

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