Analyse the similarities and differences between the accounting treatment for Parent's assets and liabilities and Subsidy’s assets and liabilities in the individual financial statements versus the consolidated financial statements

Q: Describe the accounting procedures involved in applying the direct financing method by a lessor.

A: Direct financing lease or operational lease method meaning given below:

Q: cases would affect the current assets portion of the balance sheet

A: First option is wrong because when Current Tax Expense > Tax Payments, there is a current…

Q: Is all accounting income taxable? is there any accounting income that is not taxable? Please Explain…

A: Accounting income is the profit left over after all applicable expenses have been deducted from…

Q: Which of the following users of accounting verifies accounting information to check the Tax…

A: Regulatory agencies check whether the company is complying with all the tax compliance of the…

Q: When reviewing the financial statements and supporting notes of a reporting entity, is it possible…

A: Statement of changes in equity is a part of financial statements in which the transactions related…

Q: Why do you think that these disclosures contribute to improving the quality of information for users…

A: The users of the financial statements always wants to be the analysis by their own to understand the…

Q: Which of the following is reported in profit or loss in accordance with PAS 1? I.      Sales revenue…

A: PAS 1: Presentation of financial statement prescribes the basis of presentation of general purpose…

Q: Which item, if it exists, is NOT required to be presented as a line item on the face of statement of…

A: The statement of profit or loss is prepared at the end of the accounting period and it is also a…

Q: Identify the various types of split-interest agreements and describe accounting practices for each.

A: Split-interest agreements: Split-interest agreements, often known as planned giving, are…

Q: In accounting for an estate or trust, how is the distinction between principal and income…

A: In accounting for an estate or trust, principal means the property or assets which have been…

Q: Which of the following accounting methods is commonly used for recognizing income and expenses in…

A: Accrual basis accounting is the most common accounting method used for recognizing income and…

Q: Generally accepted accounting principles (GA P) has been developed to:   Select one: A. interprets…

A: GAAP means those principles which has been followed globally and accepted every where. GAAP stands…

Q: Which of the following refers to the elements of Comprehensive Income?  a) Net Income, Interest…

A: Net income is the excess of sales over all the expenses including interest expense and income taxes.

Q: Identify which of the following items are not included as part of general-purpose financial…

A:

Q: explain in detail regarding the following topics 1. Adoption Tax Credit   2. Non Business…

A: 1)  An adoption tax credit is a tax credit offered to adoptive parents to encourage adoption in the…

Q: Which of the four basic accounting reports indicates thatit is appropriate to consider revenues and…

A: Four basic accounting reports are: Income Statement Balance Sheet Cash flow Statement Statement of…

Q: Discuss the importance of accrual accounting and its impact on matching revenues and expenses in the…

A: Regardless of when the underlying cash flows take place, accrual accounting is an accounting…

Q: Which is not generally accepted in presenting the income statement?

A: Prior period errors are accounting errors that occur in a company's financial statements in one…

Q: Additional disclosures are required pertaining to the income tax expense reported in the income…

A: The company must disclose all additional information regarding the income tax expenses reported in…

Q: Which of the following accounts would not be involved in preparing the income statement? Group of…

A: Profit and loss : Amount earned or lost on the sale of one or more items is referred to as the…

Q: The following statements relate to analysis of expenses in the income statement based on either the…

A: PAS are Philippine Accounting Standards PAS 1 -  Presentation of Financial Statements.

Q: The FASB requires that not-for-profits show the relationship of functional expenses to natural…

A: Not for profit entities represent the entities which does not operate its business operation with a…

Q: Corporations report which of the following in a separate section of the income statement? O Other…

A: The income statement is one of the three major statements reported by corporations that reveal the…

Q: temporary difference Interest earned on investments in tax-exempt government securities. Interest…

A: Nondeductible expenses refer to those expenses which a company can subtract from its income in order…

Q: Outline the accounting procedures involved in applyingthe operating method by a lessor.

A:

Q: True or false: Income tax expense may be disclosed either on the income statement or in the notes to…

A: The total amount of taxes owed to a taxation authority by an individual, corporation, or other…

Q: do not allo

A: In Philippines deduction is allowed from Business Income, Professional Income and mixed income but…

Q: Outline the accounting procedures involved in applyingthe operating method by a lessee.

A:

Q: Explain why total assets reported by the parent generally will be less than total assets reported on…

A: Consolidated balance sheet is prepared by taking total of parent company assets and liabilities and…

Q: Why is the allocation of the income tax expense figure between the members of a business combination…

A: The allocation of the income tax expense figure between the members of a business combination is…

Q: Do the liabilities and assets that are generated by using the 'balance sheet method' of accounting…

A: The implication of the rules of conceptual frame work will helpful to create best standard in the…

Q: Explain with examples the following: (a) Residence rule (b) Source rule (c) Relief for medical…

A: (a) Residence rule  Post-marital residence rules specify where a person resides after marriage and,…

Q: distinguish between temporary and permanent diff erences in pre-tax accounting incomeand taxable…

A: Taxable income is the income on which the assessee is liable to pay Income tax. It is the base upon…