Which one of the following category prepaid expenses belong to?
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A: True. Net defined benefit liability /asset is the difference between Present Value of Defined…
Q: Which of the following is a true statement about the nature of Equipment, account? Multiple Choice…
A: Equipment is a long term asset that is used to generate revenue for the business. The use of asset…
Q: hich one of the following category prepaid expenses belong to? a. Current asset b. Intangible asset…
A: Prepaid expenses are those expenses which are paid in advance for future period of time and expenses…
Q: Which of the following concepts is violated when measuring inventories at the lower of cost and net…
A: Solution: As per historical cost concept, in accounting value of an assets is recorded at original…
Q: Which one of the following category outstanding expenses belong to? a. Intangible asset b. Current…
A: Outstanding expenses are those expenses which have been incurred during the period but not yet paid.…
Q: purpose of recognizing depreciation on the financial statements? Is it designed to report PPE at…
A: Property, plant, and equipment (PPE) are long-term assets that are crucial to business operations.…
Q: Which of the following is not considered a characteristic of a liability? O Present obligation. O…
A: Liability means the amount which is to be paid to an outsider by business. It is the present…
Q: Applying a measurement basis to an asset or liability creates a measure for that asset or liability…
A: The purpose of measurement basis is to represent faithfully the values of assets and liabilities so…
Q: distinguish between current and non-current assets, and current and non-current liabilitie
A: Any asset which is convertible in terms of cash within a time duration of one year is a current…
Q: Which of the following accountin justification for the fact that the c non-current asset is reported…
A: Solution: "Going Concern" accounting concept provides justification for the fact that the carrying…
Q: Which of the following would not be classified as a current asset? Prepaid expenses Plant, property…
A: Current assets are those assets which are already in cash or can be converted into cash into short…
Q: ‘carrying value’ of a depreciable asset is the difference between
A: Carrying value of an asset gives value of Company's asset as on given date after provision of wear…
Q: According to the acquired assets should be recorded at the amount actually paid rather than at the…
A: Lets understand the each option given for the question to determine the correct answer. Monetary…
Q: 6. A liability is recognized in the statement of comprehensive income when it is probable that an…
A: As per IASC framework, the liability is recognized in the financial statement when two conditions…
Q: Any of the following should be met for borrowing cost to be capitalized, borrowing cost are being…
A: Borrowing cost is the cost incurred by an entity due to the funds borrowed by it like, interest…
Q: What is the term for allocation of fixed assets to expense? * O bad debts expense O depreciation…
A: Introduction: Fixed Assets: The benefits from the assets are having more than one year called as…
Q: Which is the proper way to report a contingent asset? a. As an asset b. No disclosure and no accrua…
A: As per IAS 37, Provisions, contingent liabilities and contingent assets. A contingent asset arise…
Q: Define current assets. What basis is used for ordering individual items within the current assets…
A: Current assets represent all the assets of a company that are expected to be conveniently sold,…
Q: Which of the following is not an essential characteristic of a liabili O All are essential…
A: Liabilities are those present obligations that are due to business and they could be short-term in…
Q: Explain the measurement principles for provisions in IAS No: 37, for " Provisions, Contingent…
A:
Q: Which of the following is classified as monetary? a. Goodwill b. Equipment c. Patent d.…
A: Monetary generally means relating to money or currency. Assets that are classified as monetary…
Q: The accounting treatment for depreciation expense in the balance sheet will be: a. Added to the…
A: Solution: Depreciation is charged on non current assets like equipment, building, vehicle etc. It is…
Q: Under IFRS, receivables are to be reported on the balance sheet at: a. amortized cost. b.…
A: Amortization: Amortization is a process in which the cost of intangible assets is spread equally…
Q: QUESTION 17 Which of the following is the most likely journal erry to record the amortisation of an…
A: Amortization of Intangible Assets:- it means expensing the total cost of Intangible assets such as…
Q: How do the asset, revenue and expense accounts differ?
A: The assets and liabilities are posted in the balance sheet that shows the financial position of the…
Q: Which of the following is the correct calculation of book value? a. Cost - Impairment expense b.…
A: Book value (B.V) is the worth of the asset at a specified date.
Q: Normal repair and maintenance of an asset is an example of what?
A: Normal repair and maintenance cost means the objective of restoring the asset to perform the…
Q: The accounting treatment for depreciation expense in the balance sheet will be: a. Deducted from the…
A: Solution: The accounting treatment for depreciation expense in the balance sheet will be "Deducted…
Q: Explain what is meant by a 'complex' non-current asset and explain briefly how IAS 16 requires…
A: complex non current assets includes building that has been built for special purpose, infrastructure…
Q: ich of the following is not a capital asset? a. Equipment -b. Vehicle c. Expenses -d. Building
A: Option C is the Correct answer.
Q: 20. Which of the following equation is TRUE? A. Asset + Capital = Liability Asset + Expense –…
A: Accounts are generally classified into 5 categories: Assets account Liabilities account Capital…
Q: Describe the two categories of accounting depreciation?
A: Depreciation: Depreciation refers to the reduction in the monetary value of a fixed asset due…
Q: What are the definition criteria of an asset and a liability
A: Assets means the resources which is owned by business. Liability means the amount which is to be…
Q: Question 3. Classify each of the following accounts as (a) asset, (b) liability, or (c) equity.…
A: Assets means resources that the business have. It may be tangible resources or intangible resources.…
Q: Which among the following suits best for Unearned revenue? a. Liability b. Expense c. Revenue d.…
A: Unearned Revenue: Unearned Revenue means money received from the customer in advance for the service…
Q: I. The amount of borrowing costs that an entity capitalizes during a value, the carrying amount is…
A: As per IND AS 23, borrowing cost eligible for capitalization= Borrowing cost incurred- investment…
Q: Accumulated depreciation and depreciation expense are classified respectively as A. Asset, contact…
A: Depreciation is the apportionment of cost of a asset over the life of the asset. Accumulated…
Q: Which of the following could be charged to the profit and loss account as an expense? O A…
A: Profit and Loss account provides overview about all incomes and expenses of an entity for a…
Q: Explain the following terms: (a)Depreciation, (b)accumulated depreciation, (c)book value, (d)fixed…
A: Solution- a) Depreciation- Depreciation refers to an indirect and explicit cost that a company…
Q: Per PAS 8, it is an adjustment of the carrying amount of an asset or a liability., or the amount of…
A: As per PAS 8, "A change in accounting estimate is an adjustment of the carrying amount of an asset…
Q: Explain how depreciation expense satisfies the definition of an expense
A: Depreciation is the amount with which an asset’s value decreases every year. Example:- Machinery…
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- Which one of the following category outstanding expenses belong to? a. Intangible asset b. Current liability c. Non-current asset d. Current assetWhich one of the following category outstanding expenses belong to? a. Intangible asset b. Current liability c. Non-current asset d. Current asset fasthich one of the following category prepaid expenses belong to? a. Current asset b. Intangible asset c. Non-current asset d. Current liability
- 25) The amount of asset cost assigned as an expense to a particular period is called: a. Loss of credit b. Depreciation c. Provisions d. ReservesAssets are usually valued under which basis? A. replacement costB. historical costC. net realizable valueD. present valueGive an example of Current Asset, Current liabilities, Non Current Asset, Non Current Liabilities
- 27. The amount of asset cost assigned as an expense to a particular period is called: a. Provisions b. Reserves c. Depreciation d. Loss of creditAccounts payable is a Select one: A. current liability B. current asset C. long-term liability D. long-term assetUnearned Revenue is classified as a(n) ________ account. A. equity B. revenue C. liability D. asset