Umanov Ltd. sold a building to a bank at the beginning of 2009 at a gain of
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Umanov Ltd. sold a building to a bank at the beginning of 2009 at a gain of S50,000 and immedi¬ ately leased the building back for a period of five years. The lease is accounted for as an operating lease.
a. Determine the amount of gain on the sale and leaseback that Ilmanov should recognize in 2009 under (1) IFRS and (2) U.S. GAAP. LO4
b. Determine the adjustments that Ilmanov would make in 2009 and 2010 to reconcile net income and stockholders’ equity under IFRS to a U.S. GAAP basis.
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Related Book For
Advanced Accounting
ISBN: 9780073379456
9th Edition
Authors: Joe Ben Hoyle, Timothy S. Doupnik, Thomas F. Schaefer, Oe Ben Hoyle
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