User Account

All Pages

How much of the transferred receivables is derecognized

Assignment Help Accounting Basics
Reference no: EM132712378

Question - ABC Co. transferred loans receivables with carrying amount of 900,000 and fair value of 1,000,000 to XYZ, Inc. for cash amounting to 1,000,000.

Required -

1. If ABC Co. transfers substantially all the risks and rewards of ownership of the loans receivable, how much of the transferred receivables is derecognized?

2. If ABC Co. is obligated to repurchase the transferred loans at a future date for the fair market value of the instrument at repurchase date plus 10% interest, how much of the transferred receivables is derecognized?

3. If ABC Co. is obligated under the terms of the transfer to repurchase any individual loan but the aggregate amount of loans that could be repurchased could not exceed 100,000, how much of the transferred receivables is retained in the books and not derecognized?

4. If ABC Co. retains only a right of first refusal to repurchase the transferred asset at fair value if XYZ, Inc. subsequently sells it, how much of the transferred receivables is derecognized?

Reference no: EM132712378

Questions Cloud

Iowa model as evidence based practice model : Discuss the Iowa Model as the Evidence Based Practice model.
What do suggest the spend money on to improve the growth : Sample t shirt company INCE has a huge profit margin, but very slow growth. What do you suggest they spend money on to improve their growth?
Sampling methodology : It is incumbent on the researcher to clearly define the target population.
Demonstrate how working capital is relate to cash and profit : Find the operating cash cycle for FGL for the years 2011, 2012, and 2013. Outline and discuss the implications of this computation.
How much of the transferred receivables is derecognized : If ABC Co. retains only a right of first refusal to repurchase the transferred asset at fair value, how much of the transferred receivables is derecognized
Demonstrate aggression or violence : Briefly describe at least one episode of a television show in which you observed aggression or violence.
Calculate the taxable capital gain or allowable capital loss : On August 27, 2020, Ms. Bubkeh sold 250 shares of Hundt Ltd., Calculate the taxable capital gain or allowable capital loss on the 2008 and 2020 transactions
Directional strategy for the organization : Top leaders and strategic managers need to decide which would be the best directional strategy for the organization.
Find cost of goods sold during the period : Find cost of goods sold during the period under a periodic inventory system using the FIFO method, the LIFO method, and the average-cost method.

Reviews

Write a Review

Accounting Basics Questions & Answers

  What entry should be made at the time of the issuance

Issuance of Bonds with Warrants - What entry should be made at the time of the issuance of the bonds and warrants

  Explain what impact this change in currency exchange rate

Assume that the plant produced and sold product in the local economy. Explain what impact this change in the currency exchange rate

  Responsibilities for reporting payroll taxes

Describe employer responsibilities for reporting payroll taxes.(To the extent possible reference the form to be filed for each tax.)

  Describe how the decision to record costs as assets

What is the term for recording costs as assets rather than as expenses? Describe how the decision to record costs as assets, rather than expenses, affects the balance sheet and income statement.

  What will the cost records for the year show

Houghton Company uses a predetermined overhead rate based on direct labor hours to apply manufacturing overhead to jobs. At the beginning of the year, the company estimated manufacturing overhead would be $200,000 and direct labor hours would be 2..

  Briefly explain how management accounting reporting practice

Briefly explain how management accounting reporting practices can be considered as a social practice

  What do you think about craig resolution to his problem

A time budget is always prepared for audit engagements. What do you think about Craig's resolution to his problem

  Conduct a 3 year ratio analysis of emc compared with ibm

conduct a 3 year ratio analysis of emc compared with ibm for 2010 2011 and 2012. get the 3 balance sheets and income

  How important is the individual development plan

How do you establish trust with your family? With your friends? With your coworkers? Is this an important factor to establish in the mentor

  Prepare the statement of changes in fiduciary net position

Prepare the trial balance, Statement of Changes in Fiduciary Net Position, and Statement of Fidiciary Net Position.

  Company manufactures a product that sells for 175 perunit

company manufactures a product that sells for 1.75 perunit. management recently finished analyzing the results ofthe

  What is the purpose of a payroll register

What is the purpose of a payroll register? Explain what city income taxes are. Give examples

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd