midium accounting

CHAPTER 1
Financial Reporting and Accounting Standards
ASSIGNMENT CLASSIFICATION TABLE
Topics

Questions

Cases

1.

Global markets.

1

2.

Environment of accounting.

2, 3, 4

4, 5, 7

3.

Objective of financial reporting.

5, 6, 7, 8, 9, 10

2

4.

Standard-setting organizations.

11, 12, 13, 14,
15, 16, 17, 18

1, 3, 6

5.

Financial reporting challenges.

19, 20, 21, 22,
23, 24, 25

8, 9, 10

6.

Ethical issues.

25

11, 12

Copyright © 2014 John Wiley & Sons, Inc.

Kieso, IFRS, 2/e, Solutions Manual

(For Instructor Use Only)

1-1

ASSIGNMENT CHARACTERISTICS TABLE
Item
CA1-1
CA1-2
CA1-3
CA1-4
CA1-5
CA1-6
CA1-7
CA1-8
CA1-9
CA1-10
CA1-11
CA1-12

1-2

Description

Level of
Difficulty

Time
(minutes)

IFRS and standard-setting.
IFRS and standard-setting.
Financial reporting and accounting standards.
Financial accounting.
Need for IASB.
IASB role in standard-setting.
Accounting numbers and the environment.
Politicalization of IFRS.
Models for setting IFRS.
Economic consequences.
Rule-making Issues.
Financial reporting pressures.

Simple
Simple
Simple
Simple
Simple
Simple
Simple
Complex
Simple
Moderate
Complex
Moderate

5–10
5–10
15–20
15–20
15–20
15–20
10–15
15–20
10–15
10–15
20–25
25–35

Copyright © 2014 John Wiley & Sons, Inc.

Kieso, IFRS, 2/e, Solutions Manual

(For Instructor Use Only)

ANSWERS TO QUESTIONS
1. World markets are becoming increasingly intertwined. The tremendous variety and volume of both exported and imported goods indicates the extensive involvement in international trade. As a result, the move towards adoption of international financial reporting standards has and will continue in the future.
2. Financial accounting measures, classifies, and summarizes in report form those activities and that information which relate to the enterprise as a whole for use by parties both internal and external to a