What are the differences between GAAP and IFRS?
What will be an ideal response?
The United States follows Generally Accepted Accounting Principles (GAAP). GAAP is rule-based accounting
standards established by the Financial Accounting Standards Board (FASB). It sets out the standards, conventions, and
rules that accountants must follow when preparing audited financial statements.
IFRS is principle-based accounting standards that were established by the International Accounting Standards Board
(IASB). IFRS sets out broad and general principles that accountants should follow when preparing financial statements.
It leaves more room for discretion than GAAP does, permitting managers to exercise their own judgment when
deciding what to report in their financial statements as long as they follow the spirit of the standards. IFRS offers
simplicity, but also possibly more leeway for accounting malpractice than GAAP.
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The use of options and forward contracts to manage price risk is referred to as ___________________
Fill in the blank(s) with correct word
Historically, the average proportion of defective bars has been 0.015. Samples will be of 100 bars each. Construct a p-chart using z = 3. What is the value of LCL?
A) less than or equal to 0.01 B) greater than 0.01 but less than or equal to 0.02 C) greater than 0.02 but less than or equal to 0.03 D) greater than 0.03
The on-balance volume indicator is used as a means of evaluating the significance of price movements
Indicate whether the statement is true or false.
Earning Before Interest and Taxes EBIT/Sales Profitability without concern for taxes and interest
What will be an ideal response?