2

Question 1

going concern

Answer 1

• Management evaluates within 1 year after FS issued

- if events exist that raise doubt and management plan is implemented and successful

Question 2

Alleviated

Answer 2

• disclose

- prepped under going concern

Question 3

Not alleviated

Answer 3

• disclose
• prepped under going concern
• management plan that was intended to mitiagte

Question 4

Liquidation imminent

Answer 4

GAAP = liquidation basis
IFRS = nothing

Question 5

IFRS

Answer 5

recognize when management is aware of substantial doubt

Question 6

Recognize subsequent events

Answer 6

exist at BS date

must recognize, record entry, and disclose

Question 7

Nonrecognized subsequent events

Answer 7

post BS date

disclose only

Question 8

SEC evaluation period

Answer 8

through date FS are issued

Question 9

Private evaluation period

Answer 9

through date FS are available to be issued

Question 10

Segment reporting

Answer 10

• Size test = 10% of total revenue/ P and L/ assets

- Reporting Sufficiency = 75% external revenue

Question 11

Cash –> Accrual Revenue

Answer 11

+ End AR - Beg AR - End Unearned + Beg Unearned

Question 12

Cash –> Accrual COGS

Answer 12

+ End AP - Beg AP - End Inv + Beg Inv

Question 13

Cash –> Accrual Exp

Answer 13

+ End AP - Beg AP - End Prepaid + Beg Prepaid