A US Company Has Many Foreign Subsidiaries and Wants to Convert

question 59

Multiple Choice

A U.S. company has many foreign subsidiaries and wants to convert its consolidated financial statements from U.S. GAAP to IFRS. Which of the following items is not one of the likely accounting issues to resolve for the opening IFRS balance sheet?

• A) Inventory valuation.
• B) Capitalizing development costs.
• C) Bank overdrafts that are integral to cash management.
• D) Goodwill calculation from acquisition of a subsidiary.
• E) Liability for restructuring charges.

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Definitions:

Proprium

In psychology, particularly in the theories of Alfred Adler, it refers to the core aspects of an individual's personality and sense of self.

Propriate

A term used by psychologist Gordon Allport to describe aspects of a person's self that are seen as central to their personality or identity.

Research Methods

Systematic processes used in scientific studies to collect, analyze, and interpret data.

Common Traits

Characteristics shared by most members of a culture or society, which are useful in making general predictions about behavior.