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Under USGAAP, a Company Can Designate a Receivable, Upon Initial Recognition

question 54

Essay

Under U.S.GAAP, a company can designate a receivable, upon initial recognition, to be recognized at fair value without meeting any criteria.IFRS has established qualifying criteria for fair value designation.
Required:
Describe the IFRS qualifying criteria that must be met to designate a receivable as fair value.


Definitions:

Fatty Tissue

Connective tissue in the body that stores fat, provides cushioning, and insulates the body.

Varicella Vaccination

Immunization against the varicella-zoster virus, which causes chickenpox, primarily given to children and susceptible adults.

Immune Globulin

A blood product used in medical treatment containing antibodies that can provide immunity against various diseases.

Doses

The specific amount of medication prescribed to be taken at one time or over a specified period.

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