Assignment No. (3) Solve the following exercises on Financial Reportin ‘Measurement Equipment Cost on Dec. 31, 2019 (Initial recognition date) 12,000 Fair Value on Dec. 31,2019 10,000 Book value on June 30, 2020 9,000, Fair Value on June 30, 2020 8,000 Book value on Sep. 30, 2020, 7,000 Fair Value on Sep. 30, 2020 14,000 balance sheet as 1. According to GAAP, ABC should report equipment at Dec 31, 2019 in its A |12,000 |B 10,000 ic 2,000 D 11,000 |E | None of these 2. According to IFRS, ABC sho! uld report equipment at Dec. 31, 2079 in its balance Sheet as A |12,000 |B |10,000 jC |11,000 |b 2,000 E | None of these 3. According to GAAP, ABC should report equipment at June 30, 2020 in its balance sheetas A 12,000 |B {10,000 jc |8,000 D 9,000 E | None of these 4, According to IFRS, ABC should report equipment at June. 30, 2020 in its balance sheet as A | 12,000 B | 10,000 Cc |8,000 D 9,000 E | None of these sheet as (assume no 5, According to GAAP, ABC should report equipment at Sep. 30, 2020 in its balance addition or dispt sal) A | 9,000 B 7,000 ic 8,000 14,000 |E None of these (1)6. According to IFRS, ABC should report equit at Sep. 30, 2020 in its balance sheet as (assume no addition or disposal) A {9,000 B |7,000 c |8,000 p | 14,000 E None of these Exercise: (2) ABC Company represents SMEs, at the end of 2019 the records show the following information: Date Cost Price Market Price Dec. 31, 2019 ( subsequent measurement "11,000 date) eae 10 Feb. 29, 2020 11,000 ey) 7. According to GAAP, ABC should report ending inventory at Dec, 31, 2019 in its balance sheet as A |12,000 |B |11,000 jc | 11,500 D_ | Can be any of these E_ | None of these sheetas 8. According to IFRS, ABC should report ending inventory at Dec, 31, 2019 in its balance A |12,000 |B /11,000 |C | 11,500 D_ | Can be any of these E | None of these sheetas 9, According to GAAP, ABC should report end ling inventory at Feb. 29, 2020 in its balance A |11,000 |B |12,000 |C | 11,500 D_ | Can be any of these E | None of these Q10. According to IFI pe 'S, ABC should report ending inventory at Feb, 29, 2020 nce A |12,000 |p 11,000 |c |13,000 |D | Canbe any of these E | None of these Buildin | Equipme| I Pee Measurement Principle gq | Bulldin | Equipme | Invento}, ts Goodwi =| 8 at ry | receiva| ©" | ble Historical Cost on Dec. 31, | ‘ 2 a ee oak i 2019 (Initial recognition —| 10,000 20,000 | 12,000 | 10,000 | 10,000 | 15,000 | 30,000 Date) Fair Value on Dec. 31, 2019 | 11,000} 25,000 | 10,000 | 8,000 | 10,000 | 15,000 | 30,000 Historical Cost/Carrying value. on June 30, 2020 Fair Value on June 30, 2020 | 12,000 | 20,000 | 8,000 | 6,000 | 10,000 | 20,000 | 30,000 10,000 | 15000 | 11,000 | 10,000 | 10,000 | 20,000 | 30,000 Historical Cost/Carrying value on Sep. 30, 2020 10,000 | 11,000 | 10,000. 6,000 | 10,000-| 20,000 | 30,000 Fair Value on Sep. 30,2020 | 12,000| 15,000 | 16,000 | 9,000 | 10,000 | 20,000 | 30,000 41. According to GAAP, ABC should report total assets at Dec.31, 2019 in its balance sheet at A |107,000 |B |115,000 |c |90,000 |D | 109,000 |E |None of these 12. According to IFRS, ABC should report total assets at Dec. 31 2019 in its balance sheet at A |12,000 |B |115,000 |c |90,000 |D 107,000 |E | None of these 13. According to GAAP, ABC should report Building at June 30, 2020 in its balance sheet as (assume no addition or disposal) A }15,000 |B |20,000 |c |25000 |p | 11,000 |E |Noneof these (3)‘ending Buildi at June. 30, 2020 balance 44. According to IFR ABC should re] sheetas (assume no addition or disposal] D 11,000 |E |None ofthese A | 15,000 B | 25,000 c {20,000 45. According to GAAP, ABC should report inventory at Sep. 30, 2020 in its balance sheet as A {12,000 B | 10,000 c | 6,000 15,000 |E |None of these 16. Accordiit IFRS, ABC should report ending invento! at Sep. 30, 2020 in its balance sheet as 9,000 |E |None of these A {12,000 |B | 10,000 c |8,000 D Exercise (4) ABC’s unadjusted trial balance at December 31, 2019 shows: Cash LE. 60,0000, Development costs resulting in patent LE 400,000, Office building LE. 1000, Building to earn rental income L.E. 2000, land for capital appreciation L.E. 1500, trucks LE. 1800, Warehouses for storage purposes LE. 2000. 17. According to GAAP, ABC should report development cost at Dec. 31, 2019 in its A Balance sheet | ,| _ Income statement | CanbeAor || Noneof 100,000 100,000 B these 48. According to IFRS, ABC should report development cost at Dec. 34 2019 in its A Balance sheet B Income statement c Can be A or D None of 100,000 100,000 B these 49. ABC reports Investment property Under GAAP as: LE. 3500 C| L£.4500 |D| LE. 8000 | E | None of these Al 16.3000 |B (4)20. ABC reports Investment property Under IFRS as: A LE. 3000 LE. 3500 ¢ LE. 4500 D ABC reports property, Plant and Equipment (PPE) Under GAAP as: LE. 8000 E| None of these Le.3000 |p} Le.3500 |c} Le.4500 |D| Le.go00 |£| None of these 22, ABC reports Total Assets Under IFRSs as: A None of Le.168,000 |p| LE.108,000 |¢] Le.4500 |D| Le.soo0 |e) “inte (5)