CPA FR 問題集 : Financial Reporting

For the year ended 31 December 2012, the board of directors of USP Inc. is considering the treatment of the following issues in their financial statements.
(i)On 1 March 2013 one of the machine used for manufacturing trading goods met the criteria to classify as held for sale. The carrying amount of the machine at 31 December was $50,000 and its fair value was $52,000. Costs to sell would amount to $4,600.
(ii)On 15 April 2013, USP Inc. settled a court case with a former employee, paying him $30,000. At the reporting date, the financial statement included a provision of $20,000 in respect of this case.
The financial statements were approved on 30 April 2013.
How should the issues above be dealt with?

• A. (i) Non-adjusting event. Classified as a non-current asset held for sale at $47,400 with a disclosure resulting an impairment loss of $2,600.
  (ii)
  Adjusting event. Provision should be adjusted to $30,000, resulting in a charge to profits of $10,000.
• B. (i) Non-adjusting event. Classified as a non-current asset held at its carrying value of $50,000 with a disclosure resulting an impairment loss of $2,600.
  (ii)
  Adjusting event. Provision should be adjusted to $30,000, resulting in a charge to profits of $10,000.
• C. (i) Non-adjusting event. Classified as a non-current asset held for sale at $47,400 with a disclosure resulting an impairment loss of $2,600.
  (ii)
  Non-adjusting event. Provision should be unadjusted. A charge of $10,000 to profits should be made in the following year end financial statements.
• D. (i) Adjusting event. Classified as a non-current asset held for sale at $47,400 with a disclosure resulting an impairment loss of $2,600.
  (ii)
  Adjusting event. Provision should be adjusted to $30,000, resulting in a charge to profits of $10,000.

Veronica plc prepares its financial statements to 31 December. During 2012 Veronica plc made sales of $850,000 and incurred costs of $610,500. At the beginning of 2012 customers owed
$125,500 and at the end of the year they owed $135,400. At the beginning of 2012 Veronica plc owed $45,500 to its suppliers and employees and at the end of the year it owed $35,700.
During 2012 Veronica plc received interest of $14,500 and paid interest of $500.
In accordance with IAS 7 Statement of Cash Flows, what was Veronica plc's net cash from operating activities under the direct method for the year ended 31 December 2012?

• A. $219,300
• B. $258,700
• C. $233,800
• D. $219,800

View-Find Inc. manufactures and sells complex electronic microscope for scientific research projects. It usually produces standard type andcustomizedmicroscope. The sale contract states that View-find Inc. will undertake the entire installation process. During December 2012, View-find Inc. undertakes acustomizedoffer from State Metallurgical Engineering University of Nowhere. The contract states that View-Find Inc. will manufacture, install and maintain the whole consignment for a period of one year. The total cost of making the changes during the maintenance period cannot be reasonably estimated at the time of the installation.
When should the revenue from sale of this special machine berecognized?

• A. When the installation is complete.
• B. When the machinery is produced and delivered.
• C. When the machinery is produced.
• D. When the maintenance period as per the contract of sale expires.

The consolidated financial statements of Paulo plc for the year ended 31 March 2013 showed the following.
Non-controlling interest in the consolidated statement of financial position at 31 March 2013 was $6 million ($3.6 million at 31 March 2012). Non-controlling interest in the consolidated income statement for the year ended 31 March 2013 was $2 million.
During the year ended 31 March 2013, the group acquired a new 75% subsidiary whose net assets at the date of acquisition were $6.4 million. On 31 March 2013, the group revalued all its properties and the non-controlling interest in the revaluation surplus was $1.5 million. There were no dividends payable to non-controlling shareholders at the beginning or end of the year.
In accordance with IAS 7 Statement of Cash Flows, what was the dividend paid to non-controlling shareholders that will be shown in the consolidated statement of cash flows of Paulo plc for the year ended 31 March 2013?

• A. $7.5 million
• B. $1.2 million
• C. $4.5 million
• D. $2.7 million

IAS 19 is intended to prescribe when the cost of employee benefits should berecognizedas a liability or an expense and the amount of the liability or expense that should berecognized.
Which of the following statements regarding IAS 19 is correct?
i)A liability should berecognizedwhen an employee has provided a service in exchange for benefits to be received by the employee at some time in the future.
ii)An expense should berecognizedwhen the entity enjoys the economic benefits from a service provided by an employee regardless of when the employee received or will receive the benefits from providing the service.

• A. (i) and (ii) both are incorrect
• B. (i) and (ii) both are correct
• C. (i) is correct but (ii) is incorrect
• D. (i) is incorrect but (ii) is correct