Questions from Intermediate Accounting

Q: Vodafone Group, Plc, headquartered in the United Kingdom, is

Vodafone Group, Plc, headquartered in the United Kingdom, is one of the world’s largest telecommunications companies. Excerpts from the revenue recognition disclosure included in its 2015 annual repor...

Q: Refer to the situation described in BE 5–31. Assume

Refer to the situation described in BE 5–31. Assume that, during the first year the company billed its customer $7 million, of which $5 million was collected before year-end. What would appear in the...

Q: When percentage-of-completion accounting is not appropriate, U

When percentage-of-completion accounting is not appropriate, U.S. GAAP requires the use of the completed contract method, while IFRS requires the use of the cost recovery method. Explain how the two m...

Q: Briefly describe the guidelines for recognizing revenue from the sale of software

Briefly describe the guidelines for recognizing revenue from the sale of software and other multiple deliverable arrangements.

Q: Briefly describe how IFRS guidelines for recognizing revenue from multiple-deliverable

Briefly describe how IFRS guidelines for recognizing revenue from multiple-deliverable arrangements differ from U.S. GAAP guidelines.

Q: Briefly describe the guidelines provided by GAAP for the recognition of revenue

Briefly describe the guidelines provided by GAAP for the recognition of revenue by a franchisor for an initial franchise fee.

Q: Refer to the situation described in BE 5–35. How

Refer to the situation described in BE 5–35. How much gross profit will Apache recognize in both 2018 and 2019 applying the cost recovery method? In BE 5–35 On July 1, 2018, Apache Company sold a par...

Q: A construction company entered into a fixed-price contract to build

A construction company entered into a fixed-price contract to build an office building for $20 million. Construction costs incurred during the first year were $6 million and estimated costs to complet...

Q: Orange, Inc., sells a LearnIt-Plus software package that

Orange, Inc., sells a LearnIt-Plus software package that consists of their normal LearnIt math tutorial program along with a one-year subscription to the online LearnIt Office Hours virtual classroom....

Q: Refer to the situation described in BE 5–39. How

Refer to the situation described in BE 5–39. How would your answer change if Orange reported under IFRS? In BE 5–39 Orange, Inc., sells a LearnIt-Plus software package that consists of their normal L...