Disclosure of the estimated fair values of financial instruments is better than adjusting the values in the
Question:
‘Disclosure of the estimated fair values of financial instruments is better than adjusting the values in the financial statements with the resulting volatility that affects earnings and gearing ratios.’ Discuss.
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 76% (13 reviews)
There are a few key considerations to take into account when answering this question First it is imp...View the full answer
Answered By
Milbert Deomampo
I have been tutoring for over 3 years and have experience with a variety of students, from those who are struggling to keep up with their class to those who are looking to get ahead. I specialize in English and writing, but I am also proficient in math and science. I am patient and adaptable, and I work with each student to find the best methods for them to learn and retain the material.
0.00
0 Reviews
10+ Question Solved
Related Book For
Financial Accounting And Reporting
ISBN: 9781292255996
19th Edition
Authors: Barry Elliott, Jamie Elliott
Question Posted:
Students also viewed these Business questions
-
Discuss the three objectives of disclosure of financial instruments under ASPE and IFRS. In your discussion explain how specific disclosure requirements meet these objectives.
-
In reviewing liquidity and gearing ratios for Monitor Services PLC, we can say that: b) Long term debt has reduced as a proportion of total capital employed, and liquidity has declined due to the...
-
Adjusting Entries and Financial Statements Sorenstam Advertising Corp. was founded in January 2006. Presented below are the adjusted and unadjusted trial balances as of December 31, 2010....
-
Solve the inequalities in Problems 4150. 7-5A < 2A + 7
-
Let be a pair of independent random variables with the same exponential PDF, fXi (x) = exp( x) u( x) i = 1, 2 Define Y1, Y2 to be the order statistics associated with the Xi. That is, Y1 = min (X1,...
-
Fern Inc. manufacturers custom furniture for both residential and commercial clients. Fern has a December 31 year-end. On September 1, Fern had two jobs in progress: Direct materials Direct labour...
-
The Richmond Company, a client of your firm, has come to you with the following problem: It has three clerical employees who must perform the following functions: 1. Maintain general ledger. 2....
-
a. Complete the increase (decrease) in dollars and percent. b. Comment ontrends. Rapid Retail Comparative Statements of Income December 31 Increase (Decrease) 2010 2009 Dollars Percent (In thousands...
-
1. What is a ceramic? 2. What is the difference between the traditional ceramics and the new ceramics? 3. What are the general mechanical properties of ceramic materials? 4. What are the general...
-
You are the owner of a small business that manages the program, food, and merchandise sales at the Excel Center, where the local professional basketball team plays. In addition to basketball games,...
-
Companies were permitted in 2008 to reclassify financial instruments that were initially designated as at fair value through profit. Critically discuss the reasons for the standard setters changing...
-
Explain the difference between a cash flow hedge and a fair value hedge. Does the nature of the hedging instrument (e.g. forward contract, interest rate swap, option) influence the hedging model...
-
These data contain quarterly net income (in millions of dollars) of Target from 1990 through the end of 2011 (88 quarters). Net income is the difference between sales and the cost of running the...
-
Implicit bias is unconscious bias, which makes it difficult to recognize and change. What can an individual employee do to reduce bias and discrimination in the workplace?
-
What are the implications of the recent changes to HIPAA with regard to protecting PHI?
-
What are the differences between EMRs and EHRs? What challenges have they presented for health care managers? And, what challenges does the future proffer?
-
As a health care manager, it is critical that your employees value and preserve the privacy of patient information. What measures might you put into place to encourage and monitor this?
-
Identify and describe the four primary barriers to health care information systems adoption.
-
Show that an affine function maps affine sets to affine sets, and vice versa. That is, if S is an affine subset of X, then f (S) is an affine subset of Y; if T is an affine subset of Y, then f-1 (T)...
-
What is the role of business risk analysis in the audit planning process?
-
Haeffner PLC is an accounting firm. Some of its clients face the following situations. For each, it is assumed that a reliable estimate can be made of any outflows expected: 1. On 9 December X1 the...
-
Below are excerpts from Notes to consolidated financial statements of four companies reporting movements in provisions. Stora Enso (Finland IFRS Source: Annual report 2011 Production of paper)...
-
Nilsson Company closes its books on 31 December each year. During the past year they have taken a three-year lease on a computer web server to support the development of their e-business activities....
-
What is the yield to maturity of a 23-year bond that pays a coupon rate of 8.25% per year, has a $1,000 par value , and is currently priced at $1,298.05?
-
Suppose the exchange rate between U.S. dollars and Swiss francs is SF 1.112 = $1.00, and the exchange rate between the U.S. dollar and the euro is $1.00 = 0.9842 euros. What is the cross-rate of...
-
Use the following information for the Lowell, Inc. for this and the next two questions. Sales $200,000 Debt 95,000 Dividends 5,000 Equity 40,000 Net income 16,000 1.What is the company's...
Study smarter with the SolutionInn App