Which of the following statements about provisions and contingencies is/are correct?
1 A company should disclose details of the change in carrying amount of a provision from the beginning to the end of the year.
2 Contingent assets must be recognised in the financial statements in accordance with the prudence concept.
3 Contingent liabilities must be treated as actual liabilities and provided for if it is probable that they will arise.
Contingent assets should not be recognised in the financial statements. However, they should bedisclosed if it is probable
that the economic benefits associated with the asset will flow to the entity. If it becomes probable that the a transfer of
economic benefits associated with a contingent liability will happen, then the contingent liability is no longer contingent and a
liability should be recognised in the financial statements
多做几道
Which of the following is a ratio which is used to measure how much a business owes in relation to its size?
A business operates on a gross profit margin of 331/3%. were $680. Gross profit on a sale was $800, and expenses
What is the net profit margin?
A company has the following details extracted from its statement of financial position：
$'000
Inventories 1,900
Receivables 1,000
Bank overdraft 100
Payables 1,000
The industry the company operates in has a current ratio norm of 1.8. Companies who manage liquidity well in this industry
have a current ratio lower than the norm.
Which of the following statements accurately describes the company’s liquidity position?
Why is analysis of financial statements carried out?
Which of the following transactions would result in an increase in capital employed?
最新试题
该科目易错题
该题目相似题
