Podcast
Questions and Answers
What can be said about the journal entries required to assess the environmental impact of Oil?
What can be said about the journal entries required to assess the environmental impact of Oil?
- They require a tremendous amount of judgment (correct)
- They do not require judgment
- They are solely based on historical costs
- They pose no measurement issues
How are accounting standard setters described in the text?
How are accounting standard setters described in the text?
- Irrelevant to the measurement issues
- Unrelated to the regulatory framework
- Detached from affecting firms' financial statements
- Part of the regulatory framework impacting financial statements (correct)
What impact do changes in regulations have on journal entries?
What impact do changes in regulations have on journal entries?
- No impact at all
- Only affect governmental agencies
- Significant impact on all parties (correct)
- A minimal effect on all parties
What is the starting point for computing numbers like regulatory capital?
What is the starting point for computing numbers like regulatory capital?
Why may a non-omniscient Government Accountant (GA) not be able to record the 'true' changes in Citizens' equity?
Why may a non-omniscient Government Accountant (GA) not be able to record the 'true' changes in Citizens' equity?
According to CICA Section 3110, why is an entity not allowed to forecast changes in laws or regulations?
According to CICA Section 3110, why is an entity not allowed to forecast changes in laws or regulations?
Why does the text mention Government B putting a lower value on GDP per capita than Government A?
Why does the text mention Government B putting a lower value on GDP per capita than Government A?
What is the reason behind not incorporating expected changes in laws or regulations in initial journal entries?
What is the reason behind not incorporating expected changes in laws or regulations in initial journal entries?
What does the OCA have the prerogative to do according to the text?
What does the OCA have the prerogative to do according to the text?
How does the text describe the exercise of forecasting legal changes?
How does the text describe the exercise of forecasting legal changes?
