Reference no: EM132948979

Problem 1: Accounting for equity with equity with controlling in?uence (greater than 50% ownership):

Select one:

a. Should use the consolidation method if the parent company chooses under IFRS

b. Requires consolidation method under ASPE

c. None of the available choices

d. Should use the consolidation method if the parent company chooses under ASPE

Problem 2: Accounting for long-term debt (bonds) under ASPE and IFRS requires that:

Select one:

a. None of the available choices

b. Any premium or discount can be amortized using either the straight-line or the e?ective-interest rate method under ASPE.

c. Any premium or discount must be amortized using the e?ective-interest rate method only under ASPE.

d. Any premium or discount can be amortized using either the straight-line or the e?ective-interest rate method under IFRS.

Problem 3: Accounting for equity with insigni?cant in?uence (less than 20% ownership) under IFRS requires that:

Select one:

a. Gains and losses are reported in either net income or other comprehensive income (OCI).

b. None of the available choices

c. Gains and losses are reported in net income only.

d. Gains and losses are reported in other comprehensive income only.