Day 42 - 63% FAIL

Question 1

Where in the FS should a company disclose information about concentrations of credit risk?

Answer 1

In the notes of the FS

NOT Supplementary information

MCQ-04658

Question 2

How is a liquidating dividend accounted for?

Answer 2

A reduction in the investment account regardless of ownership percentage

MCQ-00533

Question 3

In calculating income tax provision, how are rents received in advance treated?

Answer 3

Added to income

Taxed when received

MCQ-00830

Question 4

When calculating basic EPS, how are stock dividends treated?

Answer 4

As happening in the beginning of the year

MCQ-05446

Question 5

How should uncomfortable pledges received by a NFP that will be collected over one year or more be reported?

Answer 5

Pledges Receivable - @their PV

MCQ-05951

Question 6

ABC discounted with recourse a 10% non-interest bearing $20,500 note receivable maturing on January 31 year 2. What amount of the contingent liability must ABC disclose in there year 1 FS?

Answer 6

$20,500

Contingent liabilities are reported at their maturity value

MCQ-00751

Question 7

How are Debt Issuance costs related to the purchase of a fixed assets presented on the BS?

Answer 7

As a direct reduction to the carrying amount of the bond

Does not get added to the carrying amount of the FA

MCQ-08739