All of the Following Statements Related to Current Liabilities for U.S.GAAP

question 149

Multiple Choice

All of the following statements related to current liabilities for U.S.GAAP and IFRS are true except:

• A)The definitions and characteristics of current liabilities are broadly similar for both U.S.GAAP and IFRS.
• B)The term provision is typically used under IFRS to refer to what is titled liability under U.S.GAAP.
• C)Because tax regulatory systems of countries are different,the approach to recording taxes is totally different.
• D)When there is little uncertainty surrounding current liabilities,both require companies to record them in a similar manner.
• E)When there is a known current obligation that involves an uncertain amount,but one that can be reasonable estimated,both require similar treatment.

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Definitions:

Industry Expansion

The growth or increase in size and operations of an industry due to higher demand, technological advancements, or other factors.

Positive Revenues

Positive revenues refer to the income generated from sales, services, or other business activities before any expenses are subtracted, indicating a gross inflow of economic benefits.

Resources Move

Resources Move describes the reallocation or mobility of resources (labor, capital, etc.) from one sector, location, or use to another.

Alternative Production Techniques

Different methods or processes used in the production of goods and services, often evaluated for their efficiency, cost-effectiveness, or environmental impact.