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NEW QUESTION: 1
On January 2, 1993, Quo, Inc. hired Reed to be its controller. During the year, Reed, working closely with
Quo's president and outside accountants, made changes in accounting policies, corrected several errors
dating from 1992 and before, and instituted new accounting policies.
Quo's 1993 financial statements will be presented in comparative form with its 1992 financial statements.
This question represents one of Quo's transactions. List B represents the general accounting treatment
required for these transactions. These treatments are:
. Cumulative effect approach - Include the cumulative effect of the adjustment resulting from the
accounting change or error correction in the 1993 financial statements, and do not restate the 1992
financial statements.
. Retroactive or retrospective restatement approach - Restate the 1992 financial statements and adjust
1 992 beginning retained earnings if the error or change affects a period prior to 1992.
. Prospective approach - Report 1993 and future financial statements on the new basis but do not restate
1 992 financial statements.
During 1993, Quo increased its investment in Worth, Inc. from a 10% interest, purchased in 1992, to 30%,
and acquired a seat on Worth's board of directors. As a result of its increased investment, Quo changed
its method of accounting for investment in Worth, Inc. from the cost method to the equity method.
List B
A. Prospective approach.
B. Retroactive or retrospective restatement approach.
C. Cumulative effect approach.
Answer: B
Explanation:
Choice "B" is correct. The equity method of accounting is applied retroactively when the investor has
acquired 20% ownership. Prior to acquiring the ability to influence the investee, the cost method is proper.
The retroactive restatement approach does not mean that this change is the correction of an error (which
is now treated retroactively), a change in accounting principle (which is now treated retrospectively), or a
change in accounting entity (which is now treated retrospectively). It just means that retroactive
restatement is the proper treatment.
NEW QUESTION: 2
距離ベクトルとリンク状態ルーティングプロトコルの2つの違いはどれですか? (2つ選択)
A. リンク状態ルーティングプロトコルは、ネットワークの変更時に距離ベクトルプロトコルよりも高速な収束を提供します
B. 距離ベクトルルーティングプロトコルのみが、接続されたすべてのネイバーで同一のトポロジテーブルを維持します
C. リンクステートルーティングプロトコルのみがBellman-Fordアルゴリズムを使用します
D. 距離ベクトルルーティングプロトコルは、リンク状態プロトコルよりもループの影響を受けにくい
E. 距離ベクトルルーティングプロトコルのみが完全なルーティングテーブルの更新を送信します
Answer: A,E
NEW QUESTION: 3
DRAG DROP
Answer:
Explanation:
NEW QUESTION: 4
DRAG DROP
Answer:
Explanation: