Which of the Following Statements Is Correct

question 70

Multiple Choice

Which of the following statements is correct?

• A) IFRS requires the effective-interest method to be used to amortize bond premiums and discounts; ASPE permits either the effective-interest method or the straight-line method.
• B) ASPE requires the effective-interest method to be used to amortize bond premiums and discounts; IFRS permits either the effective-interest method or the straight-line method.
• C) Both IFRS and ASPE require the effective-interest method to be used to amortize bond premiums and discounts.
• D) Both IFRS and ASPE permit either the effective-interest method or the straight-line method to be used to amortize bond premiums and discounts.

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Definitions:

Full Refund

The repayment of the entire amount paid by a customer for a purchase, typically due to dissatisfaction with the product or service.

Company Policy

Formal guidelines and rules established by a business to govern its operations and employee behavior.

Writing a Claim Message

Crafting a communication that asserts a right or seeks an adjustment, often related to a problem with goods or services.

Corrective Action

Measures taken to rectify a problem, error, or deviation from expected standards or practices.