F2

Question 1

Bonus method/Goodwill

Answer 1

Bonus method increases/decreases individual partners accounts without changing total net assets
Goodwill method increases individual partners accounts and also changes total net assets

Question 2

FV of nonfinancial asset

Answer 2

Highest and best use

Question 3

summary of accounting policies

Answer 3

1.Measurement basis
2.Accounting principles and methods
3.Basis of consolidation
4.Depreciation methods
5.Revenue recognition

Question 4

Level 1,2,3

Answer 4

Level 1-Quoted price for on active market for identical asset
Level 2-Directly or indirectly observable quoted price for similar asset in active market
Level 3-Unobservalbe input which reflects reporting entity’s assumptions.Assumed discount rate