Which of the Following Is Not Correct Regarding IAS 39,International

question 34

Multiple Choice

Which of the following is not correct regarding IAS 39,International Accounting Standard 39,"Financial Instruments: Recognition and Measurement," and SFAS No.140,Statement of Financial Accounting Standards No.140,"Accounting for Transfers and Servicing of Financial Assets and Extinguishments of Liabilities: A Replacement of FASB Statement No.125"?

• A) IAS 39 represents a principles-based approach to standard setting.
• B) SFAS No.140 represents a principles-based approach to standard setting.
• C) SFAS No.140 represents a rule-based approach to standard setting.
• D) In the large majority of cases,application of the two standards will result in the same accounting treatment for a receivable transfer.

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Definitions:

Stingy

Describing a person or behavior characterized by an unwillingness to spend money or use resources; being miserly or parsimonious.

Personal Unconscious

According to Carl Jung, the layer of the unconscious that houses material which is not within one's conscious awareness but is personal to the individual.

Repressed Thoughts

Unconscious defense mechanisms where distressing thoughts and memories are blocked from conscious awareness.

Undeveloped Ideas

Concepts or thoughts that have not been fully thought out, explored, or expanded upon to reach their potential understanding or application.