题目内容

The following two issues relate to Spiko Co’s mining activities:
Issue 1: Spiko Co began operating a new mine in January 20X3 under a five-year government licence which required Spiko Co to landscape the area after mining ceased at an estimated cost of $100,000.
Issue 2: During 20X4, Spiko Co’s mining activities caused environmental pollution on an adjoining piece of government land. There is no legislation which requires Spiko Co to rectify this damage, however, Spiko Co does have a published environmental policy which includes assurances that it will do so. The estimated cost of the rectification is $1,000,000.
In accordance with IAS 37 Provisions, Contingent Liabilities and Contingent Assets, which of the following statements is correct in respect of Spiko Co’s financial statements for the year ended 31 December 20X4？

A provision is required for the cost of both issues 1 and 2
Both issues 1 and 2 require disclosure only
C. A provision is required for the cost of issue 1 but issue 2 requires disclosure only
D. Issue 1 requires disclosure only and issue 2 should be ignored

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Included within the financial assets of Zinet Co at 31 March 20X9 are the following two recently purchased investments in publically-traded equity shares:
Investment 1 – 10% of the issued share capital of Haruka Co. This shareholding was acquired as a long-term investment as Zinet Co wishes to participate as an active shareholder of Haruka Co.
Investment 2 – 10% of the issued share capital of Lukas Co. This shareholding was acquired for speculative purposes and Zinet Co expects to sell these shares in the near future.
Neither of these shareholdings gives Zinet Co significant influence over the investee companies.
Wherever possible, the directors of Zinet Co wish to avoid taking any fair value movements to profit or loss, so as to minimise volatility in reported earnings.
How should the fair value movements in these investments be reported in Zinet Co’s financial statements for the year ended 31 March 20X9？

A. In profit or loss for both investments
B. In other comprehensive income for both investments
C. In profit or loss for investment 1 and in other comprehensive income for investment 2
D. In other comprehensive income for investment 1 and in profit or loss for investment 2

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A company has decided to change its depreciation method to better reflect the pattern of use of its equipment.
Which of the following correctly reflects what this change represents and how it should be applied？

A. It is a change of accounting policy and must be applied prospectively
B. It is a change of accounting policy and must be applied retrospectively
C. It is a change of accounting estimate and must be applied retrospectively
D. It is a change of accounting estimate and must be applied prospectively

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根据《化学品分类及危险性公示通则》GB13690-2009，自燃固体指能在与空气接触后5min之内引燃的固体。()

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Which journal entry is required to reflect the correct accounting treatment of the government grant and the equipment in the financial statements of Gardenbugs Co for the year ended 31 December 20X7？

A
B
C
D

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A provision is required for the cost of both issues 1 and 2 Both issues 1 and 2 require disclosure only C. A provision is required for the cost of issue 1 but issue 2 requires disclosure only D. Issue 1 requires disclosure only and issue 2 should be ignored

A company has decided to change its depreciation method to better reflect the pattern of use of its equipment.Which of the following correctly reflects what this change represents and how it should be applied？

根据《化学品分类及危险性公示通则》GB13690-2009，自燃固体指能在与空气接触后5min之内引燃的固体。()

Which journal entry is required to reflect the correct accounting treatment of the government grant and the equipment in the financial statements of Gardenbugs Co for the year ended 31 December 20X7？

A provision is required for the cost of both issues 1 and 2
Both issues 1 and 2 require disclosure only
C. A provision is required for the cost of issue 1 but issue 2 requires disclosure only
D. Issue 1 requires disclosure only and issue 2 should be ignored

A company has decided to change its depreciation method to better reflect the pattern of use of its equipment.
Which of the following correctly reflects what this change represents and how it should be applied？