Which of the Following Illustrates a Difference Between GAAP and IFRS

question 17

Multiple Choice

Which of the following illustrates a difference between GAAP and IFRS?

• A) Under IFRS, component depreciation is allowed.
• B) Under IFRS, impairment adjustments cannot be reversed.
• C) Under IFRS, the classification of some financial instruments will cause a change to GAAP-calculated debt ratios.
• D) Under IFRS, whether or not an entity is consolidated has to do with whether the consolidation was handled using the purchase method.

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Definitions:

Genital

Refers to the reproductive organs in both males and females, often discussed in the context of sexual development and function.

Anal

Related to the anus; often used in the context of anal sex or anal hygiene.

Oedipal Complex

A psychoanalytic concept proposed by Freud, suggesting that a boy experiences unconscious sexual desires for his mother and jealousy and rivalry towards his father.

Electra Complex

A psychoanalytic theory positing that a girl's psychosexual competition with her mother for possession of her father.