Financial Instrument

Question 1

How to measure assets classified as “loans and receivables”?

Answer 1

Amortize it, and then the interest and amortization is recognized in current income.

Question 2

What does accounting mismatch means used in IFRS accounting？

Answer 2

Related assets and liabilities are valued using different measures.

Question 3

Disclosure of info of significant credit risk is required for?

Answer 3

All financial instruments, the amt of risk is recorded at the maximum amt of risk.

Question 4

FV disclosure of financial instrument is recorded at which section of the financial, stmt?

Answer 4

Either in the body or footnote of the financial stmt. if in the footnote, must show the CV and FV for all financial stmt.

Question 5

When should one use FV disclosure for the entity’s financial instrument?

Answer 5

When is practical to estimate the FV, if not, need to disclose why it is not practical.

Question 6

Under IFRS,what is redeemable preferred stock be treated?

Answer 6

As a liability