INATRE MIDTERM RANDOM SHIT Flashcards
Transaction cost are ___________ in the measurement of your note payable.
Included
If the note payable is irrevocably designated at fair value through profit or loss, the transaction costs are _________________ immediately.
expensed
The amortized cost of note payable is the amount at which the note payable is measured initially:
A. Minus principal repayment
B. Plus or minus the cumulative amortization using the ________________ method of any difference between the face amount and present value of the note payable.
effective interest
The difference between the face amount and present value is either ___________ or ____________ on the issue of note payable.
discount, premium
When the note payable is issued solely for cash, the present value is _______ to the cash proceeds.
equal
When the property or noncash asset is acquired by issuing a promissory note which is interest bearing, the property or asset is recorded at the ___________________.
purchase price
When a non-interest bearing note is issued for property, the property is recorded at the ___________ of the property.
cash price
PFRS 9, Paragraph 4.2.2 provides that at inital recognition a note payable may be ___________________________ as at fair value through profit or loss.
irrevocably designated
PFRS 9, Paragraph 5.7.7, provides that the gain or loss on financial liability designated at fair value through profit or loss shall be recognized either in other __________________________ or profit or loss.
comprehensive income
_______________ does not include market risks.
Credit risk
Under fair value option any _____________________is recognized as outright expense.
transaction cost
The objective of the creditor in a _____________________ is to make the best of a bad situation or maximize the recovery of investments.
debt restructuring
PFRS 9, 3.3.1, _____________ is treated as a derecognition of a financial liability or extinguishment of an obigation.
Asset swap
The difference between the carrying amount of the financial liability and the consideration given shall be recognized in ___________________.
profit or loss
Dacion en pago arises when _________________________is offered by the debtor in full settlement of the debt.
mortgaged property
If the balance of obligation including accrued interest and other charges is MORE than the carrying amlunt of the property mortgaged, the difference is _________on extinguishment of debt.
gain
If the balance of obligation is LESS than the carrying amount of the property mortgaged, the difference is _______ on extinguishment of debt.
Loss
____________ is the issuance of share capital by the debtor to the creditor in full or partial payment of an obligation.
Equity swap
_________________ may involve a reduction of interest rate foregiveness of unpaid interest or a moratorium on interest.
Interest concession
To be a ____________ , a contract must convey the right to control the use of an identified asset.
lease
All leases shall be accounted for by lessee as a ____________ lease under the new lease standard.
finance
A lease that contains a purchase option is not a ____________ lease.
short-term
An is a lease that does not transfaer substantially all the risk and rewards incidental to ownership of an underlying asset.
operating lease
Under USA GAAP, major part means at least ____ of the economic life of an asset.
75%
