What are the examples of Derivative Instruments? Define each examples and differentiate its nature and usage.

Q: Fair Value measurement

A: Fair value is the estimated selling price of an asset or settlement price of a liability.

Q: What are the distinguishing characteristics between REIT data and the NCREIF Property Index?

A: NCREIF property index helps in measuring the performance of the investment made in real estate with…

Q: Describe what is the assumed liability?

A: An assumed liability is an obligation under the terms of the agreement assumed by a party. Insurance…

Q: Define forward contract.

A: It is a form of derivative contract which is used as an agreement

Q: What is the basis for distinguishing between operating and nonoperating items?

A:

Q: Which are the assumptions will be added as we discuss the various approaches to the valuation of the…

A: REIT stands for a real estate investment property. The investment is treated as investment in stocks…

Q: Describe the approaches for measurement of fair value.

A: When measuring fair value of fixed assets, intangible assets, specified financial assets or…

Q: What is the empirical evidence on Uncovered Interest Parity?

A: Interest parity can be subdivided into two parts. these parts are: Covered interest parity…

Q: Define the term an identical asset?

A: An identical asset is the group of similar assets which are individually not distinguishable and can…

Q: On what basis should the transaction price be allocated to various performance obligations? Identify…

A:

Q: How do  Negotiable Instruments work?

A: A negotiable instrument is a signed document that offers a specific person or the assignee a…

Q: What are some of the techniques of disclosure for thebalance sheet?

A: Balance Sheet: Balance Sheet is one of the financial statements which summarize the assets, the…

Q: Define Effective interest method.

A: Effective interest method: It refers to the method of accounting that is usually used for the…

Q: How fair value measurement?

A: Fair Value In Accounting term Fair Value means the recognition of amount which are actually value…

Q: Give example/illustration of reciprocal obligation. Explain why it is a reciprocal obligation.

A: A reciprocal obligation, also known as a reciprocal agreement, is a legal term for a…

Q: Explain Derivative security?

A: Derivatives security: A derivative security is considered as a financial instrument whose value is…

Q: Describe the levels of fair value hierarchy?

A: Fair value:   A value which is determined based on the market situation, business demand, and the…

Q: Define the term Contract Modifications.

A: Accounting: Accounting is an art of collecting, recording, summarizing and presenting the financial…

Q: Define the term performance obligations.

A: Accounting: Accounting is a system, or a process of collecting and organizing economic transactions,…

Q: Define the term Fair Value Hierarchy.

A: Fair value: A value which is determined based on the market situation, business demand, and the…

Q: ontr

A: Definition of a Contract: A contract is a legally enforceable agreement. It might be a promise to do…

Q: What is the quantitative disclosure of lessor?

A: Definition: Lease: Lease is a contractual agreement whereby the right to use an asset for a…

Q: Define Monetary/non-monetary method

A: Monetary and Non-Monetary Method Monetary Assets/Liabilities - Assets/Liabilities whose value…

Q: Briefly describe the fair value hierarchy.

A: Fair value: A value which is determined based on the market situation, business demand, and the…

Q: Explain the differences between the pooling of interests and purchase methods in terms of related…

A: When combining two firms into one or during the time of merger there are different accounting…

Q: What is a forward contract?

A: Introduction: This question is related to the concept of financial derivatives. Derivative…

Q: Determine the theoretical ex-rights price?

A: The determination of the theoretical ex-rights price is generally done when stocks are issued and…

Q: What is the GAAP definition of fair value?

A:

Q: What are the requirements for an instrument to be negotiable?

A: Introduction: The following are the formal requirements that an instrument must meet to be…

Q: what is pooling of Interest Method?

A: The accounting method that governed how the balance sheets of two companies that were merged would…

Q: briefly explain compound interest and the purpose of it

A: There are two methods of interest rate one is simple interest and other is compounding interest.