Random Fact Nuggets Flashcards
1
Q
When disclosing loss contingency with a range of possible amounts of loss with all of the same likelihood, which amount is used?
A
Lowest of the range and must also disclose the entire range in the notes
2
Q
What is the intrinsic method formula?
A
Market price over exercise price
3
Q
What is it called when Company A & B create Company C?
A
consolidation
4
Q
What are the three methods to report taxable income?
A
Cash Basis
Accrual Basis
Hybrid Method
5
Q
What is the net worth formula?
A
+ Estimated assets
- Estimated liabilities
- difference between HC of assets and liabilities * tax rate
6
Q
Under IFRS when settling a lawsuit, what amount should be reported?
A
The best estimate discounted to PV
