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Far 2 liabilities

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FAR 2: LIABILITIES Current Liabilities Provisions Notes payable Loans payable Debt restructuring Bonds payable Compound financial instruments Income tax accounting Employee benefits Lease accounting GATO, Abdul Barri Indol MSU - Main Campus 09452146094 CURRENT LIABILITIES Measurement Essential Characteristics Present obligation - payee’s name not required Result of a past or obligating event Probable outflow of benefits ⑥ ⑥ ⑥ Financial Liability th @FV-PL @AC ⑥ Refinancing of a liability - completed ON/BEFORE AFTER balance sheet balance sheet date date CL NCL ⑥ Non-financial Liability @FV effective rate Transaction costs @ best estimate Breach of covenants Grace period None Granted D estination O ut (freight) C ollect (freight) - Accounts Payable CL ON/BEFORE year-end >= 12 months NCL < 12 months CL UNEARNED INCOME GR: CL Exc: NCL Recognition criteria ⑥ ⑥ NOTES PAYABLE Measurement @ FV-PL - not usually used; FV every end of reporting or @ AC - discounting is material - amortize every year Journal entry GR: > 95% Virtually certain Accrue Accrue 51% - 95% PROBABLE Accrue 20% - 50% Possible Disclosed only do nothing Disclosed only Remote Exc: If asset? PREMIUMS LIABILITY Actual expense** X do nothing GR: most likely amount Exc: ⑥ Probability - expected value Range of outcome - midpoint WARRANTY LIABILITY ⑥ CONSIDERATIONS ⑥ ESCROW LIABILITY ⑥ Escrow Liab Cash payments Expenses paid X X Beg. X Cash receipts X I ...
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