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Which of the following reduce the usefulness of ratio analysis when comparing entities that operate in the same industry? Select ALL that apply.
Which of the following reduce the usefulness of ratio analysis when comparing entities that operate in the same industry? Select ALL that apply.A . The revenue figure being aggregated from many different activities and sources.B . Accounting estimates in respect of depreciation being different between entities.C . The effect of...
Which of the following describes the value of the financial asset on the date of acquisition?
On 30 November 20X9 OPQ acquires a financial asset that is classified as Available for Sale. Which of the following describes the value of the financial asset on the date of acquisition?A . Fair value excluding transaction costs.B . Fair value including transaction costs.C . Present value including transaction costs.D...
What is the price earnings (P/E) ratio for RST at 30 April 20X9?
Information from the financial statements of RST for the year ended 30 April 20X9 is as follows: What is the price earnings (P/E) ratio for RST at 30 April 20X9?A . 15.83B . 7.92C . 10.56D . 9.31View AnswerAnswer: A
The Effects of Changes in Foreign Exchange Rates when consolidating an overseas subsidiary?
Which TWO of the following are true in relation to IAS21. The Effects of Changes in Foreign Exchange Rates when consolidating an overseas subsidiary?A . A current period exchange gain or loss is shown within the consolidated statement of comprehensive income within other comprehensive income.B . Goodwill is re-translated at...
Which of the following describes the value of the financial asset on the date of acquisition?
On 30 November 20X9 OPQ acquires a financial asset that is classified as Available for Sale. Which of the following describes the value of the financial asset on the date of acquisition?A . Fair value excluding transaction costs.B . Fair value including transaction costs.C . Present value including transaction costs.D...
An accountant acting under their Code of Ethics would do which THREE of the following?
An accountant acting under their Code of Ethics would do which THREE of the following?A . Resist pressure from the directors to recognise revenue on sales where the risks and rewards have not transferred to the customer.B . Report material conflicts of interest to a more senior level.C . Reject...
The characteristics of this instrument taken as a whole indicates that it would be classifed as which of the following?
RS has issued an instrument with a nominal value of $1 million, at a discount of 2.5%, and a coupon rate of 6%. The terms of the issue are that the instrument must either be redeemed at par, at the option of the holder, in three years' time, or alternatively...
Which of the following reduce the usefulness of ratio analysis when comparing entities that operate in the same industry?Select ALL that apply.
Which of the following reduce the usefulness of ratio analysis when comparing entities that operate in the same industry?Select ALL that apply.A . The revenue figure being aggregated from many different activities and sources.B . Accounting estimates in respect of depreciation being different between entities.C . The effect of a...
What is JJ's cost of equity?
JJ's current share price is $1.80, with a dividend of $0.20 a share just about to be paid. Dividends have increased at an average annual growth rate of 4.5% and this is expected to continue into the future. What is JJ's cost of equity?A . 17.6%B . 16.1%C . 12.5%D...
Which THREE of the following were disclosed as related parties of AB in its financial statements?
AB, a listed entity, prepared its financial statements to 31 December 20X7, in accordance with international accounting standards. Which THREE of the following were disclosed as related parties of AB in its financial statements?A . AB's defined benefit pension plan.B . The wife of the Managing Director of AB, to...
