Identify which of the conceptual framework elements have been violated by the following events. Some questions have
Question:
1. The company's building has increased in value since it was purchased 10 years ago.
Since the owner intends to sell the building next year, he recorded the building at market value on the balance sheet.
2. The notes to the financial statements were omitted.
3. The company's balance sheet listed the owner's personal vehicle as an asset.
4. The accountant recorded the office staplers as assets on the balance sheet.
5. The accountant is planning to alternate use of ASPE and IFRS in preparing the financial statements.
6. The owner listed his employees as an asset entitled "Intellectual Property" on the balance sheet.
Financial Statements
Financial statements are the standardized formats to present the financial information related to a business or an organization for its users. Financial statements contain the historical information as well as current period’s financial... Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...
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Related Book For
Accounting
ISBN: 978-0176509743
Volume 1, 2nd canadian Edition
Authors: Carl warren, James Reeve, Jonathen Duchac, Sheila Elworthy,
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