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NEW QUESTION: 1
Which two statements about SAF service identifier numbers are true? (Choose two.)
A. They are generated in the format service:sub-service:instance.instance.instance.instance.
B. They are generated in the format [email protected].
C. They are 16-bit decimal identifiers.
D. They are generated in the format data-source:sub-service:instance.matrix.fifty.saf.
E. They are generated in the format telco.cisco.saf-forwader.db.replicate.data.local.
F. They are 32-bit decimal identifiers.
Answer: A,C
NEW QUESTION: 2
You are an accountant.
You are creating your travel expense budget for the fiscal year and want to enter the same budget amount for each month.
On the budget register entry, which option should you choose?
A. allocate across periods
B. transfer balances
C. enter recurrence
D. allocate across dimensions
Answer: B
NEW QUESTION: 3
In 2001, Continental Supply Company was formed to provide drilling equipment and supplies to contractors and oilfield production companies located throughout the United States. At the end of 2005, Continental Supply created a wholly owned foreign subsidiary, International Oilfield Incorporated, to begin servicing customers located in the North Sea. International Oilfield maintains its financial statements in a currency known as the local currency unit (LCU). Continental Supply follows U.S. GAAP and its presentation currency is the U.S. dollar.
For the years 2005 through 2008, the weighted-average and year-end exchange rates, stated in terms of local currency per U.S. dollar, were as follows:
International Oilfield accounts for its inventory using the lower-of-cost-or-rnarlcet valuation method in conjunction with the first-in, first-out, cost flow assumption. All of the inventory on hand at the beginning of the year was sold during 2008. Inventory remaining at the end of 2008 was acquired evenly throughout the year.
At the beginning of 2006, International Oilfield purchased equipment totaling LCU975 million when the exchange rate was LCU 1.00 to SI. During 2007, equipment with an original cost of LCU 108 million was totally destroyed in a fire. At the end of 2007, International Oilfield received a LCU 92 million insurance settlement for the loss. On June 30, 2008, International Oilfield purchased equipment totaling LCU 225 million when the exchange rate was LCU 1.25 to $1.
For the years 2007 and 2008, Continental Supply reported International Oilfield revenues in its consolidated income statement of S375 million and $450 million, respectively. There were no inter- company transactions. Following are International Oilfield's balance sheets at the end of 2007 and 2008:
At the end of 2008, International Oilfield's retained earnings account was equal to $525 million and, to date, no dividends have been paid. All of International Oilfield's capital stock was issued at the end of
2005.
Assume the country where International Oilfield is operating has been experiencing 30% annual inflation over the past three years. Which of the following best describes the effect on Continental's consolidated financial statements for the year ended 2008?
A. A gain is recognized as a direct adjustment to the balance sheet.
B. A loss is recognized in the income statement.
C. A gain is recognized in the income statement.
Answer: C
Explanation:
Explanation/Reference:
Explanation:
The temporal method is required if the foreign subsidiary is operating in a highly inflationary environment, defined as cumulative inflation of more than 100% in a 3-year period. Compounded inflation of 30% annually for three years is approximately 120% (1.30- 1). Under the temporal method, remeasurement gains and losses are recognized in the income statement. In this case. International Oilfield has a net monetary liability position (monetary liabilities of 600 million > monetary assets of 120 million). Holding net monetary liabilities denominated in a currency that is depreciating will result in a gain. (Study Session 6, LOS 23.f)
NEW QUESTION: 4
HOTSPOT
Extract from the Project Product Description (with errors)
Column 1 is a list of objectives. For each objective in Column 1, select from Column 2 the quality activity that addresses it. Each selection from Column 2 can be used once, more than once or not at all. Drop down the right answer.
Hot Area:
Answer:
Explanation:
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