Exam 5: International Financial Reporting Standards: Part II

Under IAS 12, Income Taxes, how is the relationship between a hypothetical tax expense based on statutory rates and reported tax expense based on the effective tax rate explained?

Under IAS 37, how are contingent liabilities treated in the financial statements?

Under both IFRS and U.S. GAAP, in an equity-settled share-based payment transaction, how are such payments to non-employees measured?

Under IFRS 15, Revenue from Contracts with Customers, which of the following is NOT one of the steps to be applied in the recognition of revenue across a wide range of transactions and industries?

What kinds of temporary differences related to income taxes can arise under IFRS that don't occur under U.S. GAAP?

Which of the following is a criterion that must be met to recognize revenue from the sale of goods?

Under IAS 39, Financial Instruments, which of the following terms describes the removal of a financial asset or liability from the balance sheet when certain appropriate criteria have been met?

Alpha Inc. has receivables from unrelated parties with a face value of $5,000. It transfers these receivables to bank for $4,500, without recourse. It will continue to collect the receivables, depositing them in a non-interest-bearing bank account with the cash flows remitted to the bank at the end of each month. It is not allowed to sell or pledge the receivables to anyone else and is under no obligation to repurchase the receivables from bank. Which of the following is the appropriate treatment for these Accounts receivables?

Under IFRS 2, with respect to cash-settled share-based payments, when an employee has received stock appreciation rights, how is the fair value of those rights measured?

Under IAS 1, Presentation of Financial Statements, how must deferred taxes be classified on the balance sheet?

Under IFRS 2, with respect to choice-of-settlement share-based payments, if it is the entity that has the right to choose between equity settlement and cash settlement, when must the entity choose the cash settlement?