Subsequent Events

Question 1

What is a subsequent event?

Answer 1

Events that occur after the balance sheet date but before the financial statements are issued

Question 2

Conditions that existed at the balance sheet date require _____ in the financial statements?

Answer 2

recognition

Question 3

Conditions that did not exist at the balance sheet date require ________ in the footnotes.

Answer 3

disclosure

Question 4

All subsequent events are either recognized or disclosed depending on their timing. TF

Answer 4

True

Question 5

The main difference between GAAP and IFRS in regards to subsequent events is….

Answer 5

The cut off date. With IFRS the cut off date is the date for which financial statment are authorized for issuance

Question 6

IFRS requires adjustments for subsequent share splits. TF

Answer 6

False, GAAP does

Question 7

Subsequent refinancing, amendments, and waivers are considered in determining the classification of debt as current or non current under ______.

Answer 7

GAAP, not IFRS