Study Session 5: Financial Reporting and Analysis: Intercorporate Investments, Post-Employment and Share Based Compensation, and Multinational Operations
How is it that return on plan assets has no effect on PBO but is included in actuarial gains/losses (which DO affect PBO)? Which of the two is it?
"Retirement Benefits Paid" - meaning? + long term rate of return does not impact benefit obligation?
The terminology in the pensions section is confusing me. I think I understand the difference between periodic pension cost (income statement expenses) and total periodic pension cost (income statement + OCI), but what does “retirement benefits paid” mean (question #8 in EOC)? Is that the same as total periodic pension cost?
Company A takes 50% in B.
Under aquisition method, the Bal Sheet of A will have cash outgo (50% of B’s equity). So the total current assets will be (CA of A + CA of B - cashoutgo)
Current Liab = CL of A + CL of B.
I’ve noticed in a couple mock exams that the FRA isn’t so straight forward as to “has DSO increased or decreased”, but more along the lines of “has the company’s performance improved?”
With the latter question, this could refer to the accruals rate, revenue growth, AR build up, cash conversion, etc.
This feels quite overwhelming as we’re usually presented with a mini-statement, and there aren’t a whole lot of time to calculate each metric.
How have you guys approached this, and for those who’ve passed level II, what has helped you?
The investment-in-associates net-income-share comes after the investor’s net income from continuing operations in the investor’s balance sheet. Am I right?
Express Delivery Inc. (EDI) reported the following year-end data:
Effective tax rate
Why there is no change in acquier total assets when he purchase the shares of target company using equity method?
For calculation of ratios such as return on assets/return on fixed assets, should I be using the end of period assets by default, or the average assets?
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