The amount initially capitalized by the lessee for a right-of-use asset is the sum of the future value of the periodic lease payments, plus the future value of expected payments for residual value.

Question 1 options:

	True
	False

Question 2 (1 point)

The full eligibility date for an employee covered in a non-pay related other post-employment benefits plan is:

Question 2 options:

	the retirement date.
	the date the employee is eligible for the maximum benefit the plan has to offer.
	the date the employee is eligible for the benefits he or she is expected to receive.
	the date the employee attains his or her final salary.

Question 3 (1 point)

The lessee measures the cost of a right-of-use asset and the corresponding lease liability as the:

Question 3 options:

	fair market value of the leased asset.
	future value of the periodic rental payments.
	sum of the annual cash payments to be made during term of the lease.
	present value of the periodic rental payments.

Question 4 (1 point)

Recognition of pension expense is primarily based on the:

Question 4 options:

cost principle.

revenue principle.

matching principle.

full disclosure principle.

question 6 Changes in defined benefit pension plans that eliminate or reduce, for a significant number of employees, the accrual of defined benefits for some or all of their future services are:

Question 6 options:

	settlements.
	eliminations.
	curtailments.
	terminations.

9 Which of the following would be excluded from the total future lease payments and lease liability at inception for the lease?

Question 9 options:

	Residual value guarantee by the lessee.
	Purchase option the lessee is expected to exercise.
	Residual value guarantee by a third-party.
	Annual lease payments.