Podcast
Questions and Answers
Which of the following is a similarity between Direct and Indirect methods of cash flow statement?
Which of the following is a similarity between Direct and Indirect methods of cash flow statement?
- Direct Method CFS is irrelevant proofing the cash flow statement
- The change in cash from direct methods & indirect methods of CFS will vary
- Indirect method of CFS uses all elements of CFS except operating activities
- Both methods are similar with Investing & Financing Activities (correct)
During the adjustment for Ato Zinegnaw's advance customer payment, what should happen to the Unearned Revenue account?
During the adjustment for Ato Zinegnaw's advance customer payment, what should happen to the Unearned Revenue account?
- Unearned revenue should increase by 500
- Unearned revenue should increase by 2,000
- Unearned revenue should decrease by 500 (correct)
- Cash should increase by 500
If the insurance expense during February was Br 120 on accrual basis, how much was paid for insurance during February?
If the insurance expense during February was Br 120 on accrual basis, how much was paid for insurance during February?
- Br 310
- Br 480
- Br 670
- Br 550 (correct)
In a bill-and-hold arrangement, when is revenue typically recognized?
In a bill-and-hold arrangement, when is revenue typically recognized?
When does revenue recognition occur under IFRS 15?
When does revenue recognition occur under IFRS 15?
Who should count the painting in their inventory after Tilahun transfers it to the barbershop?
Who should count the painting in their inventory after Tilahun transfers it to the barbershop?
In a consignment arrangement, when does revenue recognition occur?
In a consignment arrangement, when does revenue recognition occur?
What is the correct statement about a consignment arrangement?
What is the correct statement about a consignment arrangement?
Who has possession of the painting after Tilahun transfers it to the barbershop?
Who has possession of the painting after Tilahun transfers it to the barbershop?
When is the transaction price typically determined under IFRS 15?
When is the transaction price typically determined under IFRS 15?
