Gary Biz Ltd. is planning to issue Financial Instruments of Equity sort in 20X9. However, the Lead Accountant is unsure on how to measure or present that in the Financial Statements, so it is properly in line with GAAP.
The Accountant has asked for you to meet him to discuss how to solve this. Which of the following advice should you provide to him?
Crown Ltd has different sectors or “Reporting Units” of a business. On one night, because of a fire, a particular “Reporting Unit” was heavily affected. It had different assets and different liabilities before the accident occurred. After the accident, it was determined that the segment had to go through an impairment of $80,000.
However, the directors are not sure how to do this and therefore has come to you for help. Which of the following correctly explains how the process should be carried out?
Q 3. Brand Ltd is planning on discontinuing their operations and has asked you for help on how to proceed with this, especially regarding changes in the Financial Statements. They want to be in line with GAAP. Which of the following is the right process in this regard?