IFRS and US GAAP Differ with Regard to Financial Statement

question 12

Multiple Choice

IFRS and US GAAP differ with regard to financial statement presentation in all of the following EXCEPT:

• A) IFRS generally requires that assets be listed in order of increasing liquidity while US GAAP requires that assets be listed in order of decreasing liquidity.
• B) US GAAP requires expenses to be listed by function while IFRS requires expenses to be listed by nature.
• C) IFRS prohibits extraordinary items which are allowed by US GAAP.
• D) IFRS requires two years of comparative income statements while under US GAAP, three years of income statements are required.

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Definitions:

Uninterrupted Study

A period of focused learning activity without breaks or distractions.

Three-Hour Sessions

Extended periods of engagement in a specific activity, typically referring to work, study, or therapy settings, lasting three hours.

Two-Hour Sessions

Defined periods or blocks of time lasting 120 minutes, commonly used for meetings, workshops, or therapy appointments.

Semantic Memory

A component of long-term memory that processes ideas and concepts that are not drawn from personal experience, including knowledge of facts, meanings of words, and general information about the world.