The IASB’s conceptual framework for financial reporting states that the qualitative characteristics of financial statements are the attributes that make financial information useful.
Required: Explain the fundamental qualitative characteristic “Relevance”. … Read the rest
Ashaiman and Nima are in partnership sharing profits and losses 2:1. They had originally invested TZS 50,000 and TZS 40,000, respectively. Their current account balances on 1 November 2016 were TZS 14,000 credit for Ashaiman and TZS 9,900 debit for Nima.
Suame Ltd is a listed telecommunication company that prepares its financial statements for the year ended 31 October 2015 in accordance with IFRS. The financial statements are due to be authorized for issue on 15 January 2016.
i) Suame Ltd holds an investment in the shares of a listed company, Asafo Ltd. During November 2015 there was a material… Read the rest
Bonne Bia limited is a newly formed company in the catering business founded by Kate and Paul Johnson. Kate and Paul have considerable experience in the food industry and saw an opportunity to establish a food/beverage business to service the tourist market during the four months from May to August. The business will be located in Wexford and permission has … Read the rest
The following is a summary from the cash book of BW Ltd for July 2015:
| TZS | |
| Opening balance | 1,530 |
| Receipts | 23,104 |
| Payments | (23,005) |
| Closing balance | 1,629 |
i) Bank charges of TZS 15 shown on the bank statement have not been entered into the cash book.
ii) A cheque … Read the rest
(A) XX glass limited has been in operation for the past seven years and manufactures shower doors. Since its establishment, the company has used a traditional overhead absorption costing system. However, the managing director, Peter Kenny, is considering making a change.
Over the past few years, Peter has streamlined the production process and reduced … Read the rest
Atta Kay Ltd has the following assets which it would like to classify under IFRS 5 Non- Current Assets Held for Sale and Discontinued Operations today:
| Carrying Amount today (GH¢million) | Open market value today (GH¢million) | Estimated selling costs (GH¢million) | |
| Investment properties (at fair value through profit or loss) | 62.3 | 30.9 | 0.5 |
| Land used as company car park |
