Which of the Following Statements Is True of the Treatment

question 32

Multiple Choice

Which of the following statements is true of the treatment of actuarial gains and losses under IFRS and U.S. GAAP?

• A) IFRS requires the disclosure of actuarial gains and losses in the notes to financial statements.
• B) IFRS requires immediate recognition of actuarial gains and losses in net income.
• C) U.S. GAAP allows a choice between immediate recognition in other comprehensive income or in net income.
• D) U.S. GAAP requires the actuarial gains and losses to be recognized immediately through other comprehensive income.

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Definitions:

Reading Assignments

Tasks given by educators that require students to read specific material to gain knowledge or insights.

Mnemonic Device

A technique or strategy used to improve memory by making information easier to remember.

Implicit Memory

A type of memory in which previous experiences aid the performance of a task without conscious awareness of these previous experiences.

Semantic Memory

A type of long-term memory that involves the ability to remember meanings, concepts, facts, and general knowledge about the world.