Definitions

Question 1

Revenue

Answer 1

the sale of goods or services or the use of company resources by others

Question 2

Gain

Answer 2

Increases to equity from transactions other than revenue or equity contributions

Question 3

PPE (IFRS)

Answer 3

tangible assets that are:

1. held for use in the production or supply of goods or services
2. expected to be used for more than one year

Question 4

PPE (ASPE)

Answer 4

Tangible asset that are:

1. held for use in the production or supply of goods or services
2. expected to be used for more than one year
3. are not intended to be sold in the normal course of operations

Question 5

Compound financial instruments

Answer 5

Financial instruments that contain both equity and debt components

Question 6

Non-Monetary Transactions

Answer 6

Transactions that are:

1. non-monetary exchanges of goods or services with little or no cash consideration, or
2. non-reciprocal non-monetary transactions

Question 7

Intangible Assets

Answer 7

1. The asset is identifiable (it can be sold or transferred or it arose from contractual or other legal rights)
2. The entity controls the future economic benefits
3. The asset will generate future economic benefits

Question 8

Contingent Loss (ASPE)

Answer 8

an existing condition that involves uncertainty with respect to a gain or loss that will be resolved when one or more future events occur

Question 9

Provision (IFRS)

Answer 9

A liability of uncertain timing or amount

Question 10

Bearer Plants

Answer 10

1. used in the production or supply of agricultural produce
2. expected to produce for more than one period
3. a remote likelihood of being sold as agricultural produce themselves

Question 11

Investment Property

Answer 11

Property held to earn rentals or capital appreciation, or both, rater than:

1. used in the production or supply of goods or services, or
2. for sale in the ordinary course of business

Question 12

Assets Held for Sale

Answer 12

If the carrying amount will be recovered principally though a sale rather than continuing use

Question 13

Discontinued Operations

Answer 13

1. Represents a major line of business or geographical region
2. Is part of a coordinated plan to dispose of a major line of business or geographical region
3. Is a subsidiary acquired exclusively for resale

Question 14

Inventory

Answer 14

1. Held for sale in the normal course of business
2. In the process of production for sale
3. In the form of materials to be consumed in the production / supply of goods / services

Question 15

Financial Instruments

Answer 15

Any contract that creates a financial asset for one entity and a financial liability for another

Question 16

cash and equivalents

Answer 16

cash and highly liquid investments that are readily convertible to a known amount of cash and are used for meeting short-term cash commitments