Kline Company Refinanced Current Debt as Long-Term Debt on January

question 42

Multiple Choice

Kline Company refinanced current debt as long-term debt on January 5, 2019. Kline's fiscal year ended on December 31, 2018, and its financial statements will be issued sometime in early March 2019. Under IFRS, how would Kline classify the debt on its December 31, 2018, balance sheet?

• A) In the "mezzanine" between current and noncurrent liabilities.
• B) Kline would not classify the debt as current or noncurrent, but rather would write a disclosure note explaining the circumstances.
• C) As a noncurrent liability.
• D) As a current liability.

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Specific Tax

A fixed amount imposed by the government on a product, per unit of quantity.

External Benefit

A benefit that affects a party who did not choose to incur that benefit, typically referring to positive side effects of a transaction or activity on third parties.

Environmental Standard

Regulations and criteria set by governments or international bodies to protect the environment by controlling levels of pollutants or the methods used to produce goods and services.

Noise Level

Noise level refers to the intensity of sound in a particular environment, measured in decibels (dB); it's crucial for determining sound pollution and its effects on health and well-being.