Questions from Intermediate Accounting

Q: JDS Foods’ projected benefit obligation, accumulated benefit obligation, and plan

JDS Foods’ projected benefit obligation, accumulated benefit obligation, and plan assets were $40 million, $30 million, and $25 million, respectively, at the end of the year. What, if any, pension lia...

Q: Air France–KLM (AF), a Franco-Dutch company

Air France–KLM (AF), a Franco-Dutch company, prepares its financial statements according to International Financial Reporting Standards. AF’s financial statements and disclosure notes for the year end...

Q: How do we report components of comprehensive income created during the reporting

How do we report components of comprehensive income created during the reporting period?

Q: The balance sheet reports the balances of shareholders’ equity accounts. What

The balance sheet reports the balances of shareholders’ equity accounts. What additional information is provided by the statement of shareholders’ equity?

Q: At times, companies issue their shares for consideration other than cash

At times, companies issue their shares for consideration other than cash. What is the measurement objective in those cases?

Q: The costs of legal, promotional, and accounting services necessary to

The costs of legal, promotional, and accounting services necessary to effect the sale of shares are referred to as share issue costs. How are these costs recorded? Compare this approach to the way deb...

Q: When a corporation acquires its own shares, those shares assume the

When a corporation acquires its own shares, those shares assume the same status as authorized but unissued shares, as if they never had been issued. Explain how this is reflected in the accounting rec...

Q: Discuss the conceptual basis for accounting for a share buyback as treasury

Discuss the conceptual basis for accounting for a share buyback as treasury stock.

Q: Define prior service cost. How is it reported in the financial

Define prior service cost. How is it reported in the financial statements? How is it included in pension expense?

Q: The prescribed accounting treatment for stock dividends implicitly assumes that shareholders are

The prescribed accounting treatment for stock dividends implicitly assumes that shareholders are fooled by small stock dividends and benefit by the market value of their additional shares. Explain thi...