What is the primary difference between US GAAP and IFRS

Assignment Help Accounting Basics
Reference no: EM132703537

Problem 1: When a loan covenant in a long-term obligation is violated, what is the primary difference between US GAAP and IFRS when determining whether the loan will retain its long-term classification?

A. To retain its long-term classification, US GAAP requires the waiver to be received before the financial statements are issued, while IFRS requires the waiver to be received before year-end.

B. To retain its long-term classification, US GAAP requires the waiver to be received before year-end, while IFRS requires the waiver to be received before the financial statements are issued.

C.There is no difference because both require the company to receive a waiver from the bank before the financial statements are issued for the loan to retain its long-term classification.

D. There is no difference because both require the company to receive a waiver from the bank before year end for the loan to retain its long-term classification.

Reference no: EM132703537

Questions Cloud

Identify an exonerated case and determine the causes : Identify an exonerated case and determine the cause(s) of why it was exonerated and then discuss remedies. What additional measures can take place to increase.
Implement a retirement plan : George, age 63, is receiving Social Security retirement benefits. He also works part time, and his earnings are $10,000 more than the earnings limit.
Calculate the npv of switch-first inc : First Inc. currently grants no credit, but it is considering offering new credit terms of net 30. As a result, the price of its product will increase from $40 t
Describe the criminal justice system in brief : The paper should be around 8-10 double spaced pages in length. Your assignment is to discuss how race affects individuals at different points in the criminal.
What is the primary difference between US GAAP and IFRS : What is the primary difference between US GAAP and IFRS when determining whether the loan will retain its long-term classification?
What is the incremental cash inflow of the proposed : What is the incremental cash inflow of the proposed credit policy switch? (Do not use the $ sign. If your answer is $1,234.56, enter 1234.56)
HLTAAP001 Recognise Healthy Body Systems Assignment : HLTAAP001 Recognise Healthy Body Systems Assignment Help and Solution, Inspire Education - Assessment Writing Service - explain how the body regulates
Reliability and validity of utilizing recovered memories : Your assignment this week is to write a critical analysis on the reliability and validity of utilizing recovered memories as a source of forensic evidence.
How much money do they need to pay : The Patterson family wants to save money to travel the world. They plan to invest in an ordinary annuity that earns 2.4% interest, compounded quarterly.

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

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!

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