Ifrs Accounting Solution

Solutions to Problems and Exercises

TABLE OF CONTENTS * Chapter 1 1
Concepts for Analysis 1-5 1
Concepts for Analysis 1-6 2
Concepts for Analysis 1-10 3
Concepts for Analysis 1-11 3 * Chapter 2 4
Brief Exercise 2-3 4
Brief Exercise 2-4 4
Brief Exercise 2-5 4
Exercise 2-3 5 * Chapter 3 6
Exercise 3-6 6
Exercise 3-9 6
Exercise 3-11 8
Exercise 3-14 10
Exercise 3-15 10
Exercise 3-16 10 * chapter 4 12
Exercise 4-2 12
Exercise 4-4 13
Exercise 4-5 16
Exercise 4-12 17
Exercise 4-13 18
Exercise 4-15 19
Problem 4-1 19
Problem 4-7 21 * Chapter 5 23
Exercise 5-2 23
Exercise 5-4 23
Exercise 5-13 25
Exercise 5-15 25
Problem 5-2 27 * Chapter 7 29
Exercise 7-5 29
Exercise 7-7 30
Exercise 7-13 30
Exercise 7-15 31
Exercise 7-16 31
Exercise 7-24 32
Problem 7-8 34
Problem 7-11 35
Problem 7-15 36 * Chapter 8 38
Exercise 8-1 38
Exercise 8-15 38
Exercise 8-25 39
Exercise 8-26 40 * chapter 9 42
Brief Exercise 9-2 42
Brief Exercise 9-4 42
Brief Exercise 9-7 42
Brief Exercise 9-8 43
Exercise 9-2 43
Exercise 9-7 44
Exercise 9-12 45
Exercise 9-14 46
Exercise 9-19 47
Problem 9-4 47 * Chapter 18 49
Exercise 18-2 49
Exercise 18-4 50
Exercise 18-7 51
Exercise 18-11 52
Exercise 18-15 53
Exercise 18-19 54
Problem 18-7 55
Problem 18-8 57 * Chapter 23 59
Exercise 23-1 59
Exercise 23-5 59
Exercise 23-6 60
Exercise 23-11 60

CHAPTER 1
CA 1-5

(a) One of the committees that the AICPA established prior to the establishment of the FASB was the Committee on Accounting Procedures (CAP). The CAP, during its existence from 1939 to 1959, issued 51 Accounting Research Bulletins (ARB). In 1959, the AICPA created the Accounting Prin-ciples Board (APB) to replace the CAP. Before being replaced by the FASB, the APB released 31 official pronouncements, called APB Opinions.

(b) Although the ARBs issued by the CAP helped to narrow the range of alternative practices to some extent, the CAP’s