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4. Debt issue costs under GAAP requires (Points :...

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4. Debt issue costs under GAAP requires (Points : 5) That debit issue costs are netted against the debt to lower bonds payable The debit issue costs are netted against the debt to increase bonds payable A debit to the asset account debt issue costs which is amortized over the term of the debt A credit to the liability account debt issue costs which is amortized over the term of the debt 5. GAAP requires that if a company elects to report bonds at fair value they (Points : 5) Must report the changes as an increase or decrease to bonds payable Must report the changes as an increase or decrease to discount on bonds payable Must report the changes in fair value to the unrealized holding gain or loss account and the fair value adjustment account There is no such option under GAAP only IFRS 6. A ___ lease our includes a noncancelable lease term and an agreement for a bargain purchase option (Points : 5) Capital Operating Equity Bargain

 

Paper#9129 | Written in 18-Jul-2015

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