Reference no: EM132439758

Assignment - Accounting for Assets, Mount Kenya University, Kenya

1. A) Outline the recognitions criteria of assets and liabilities.

B) Explain the possible external factors which may cause impairments loses.

C) Write short notes on the following.

i) Bad debts recovered.

ii) Under provisions.

iii) Value in use.

D) Differentiate between the following items.

i) Bad debts recovered.

ii) Posting and journalization.

iii) Recordable and non-recordable events.

E) Bidco (K) LTD rented a Godown for KSh 1.2m per year as from 1 Jan 2018 and the accountant paid Sh 1.5 m on the same date.

2. The following information was got from the books of Palusid (K) Ltd.

3. a) Explain the following financial instrument risk:

i) Market risk.

ii) Exchange rate risk.

iii) Liquidity Risk.

4. XYZ Ltd is a media developer. On 1 Jan 2014 the company imported specialized electronic equipment from the United State. The following cost were incurred.

B) Outline the three critical attributes of and intangible assets.