Acct 3311 - Quiz 2

Acct 3311 - Quiz 2 - Question 1 Component of an Entity A...

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Question 1 Component of an Entity A component of an entity comprises operations and cash flows that can be clearly distinguished, operationally and for financial reporting purposes, from the rest of the entity. A component of an entity may be a reportable segment or an operating segment , a reporting unit , a subsidiary, or an asset group . Question 2 - To qualify for discontinued operations, disposal group must be qualified for a component of an entity. Understanding the meaning of component of an entity, we know to report the discontinued operations separately from continued operation provided by investors or creditors and others with information to help assess the effects of disposal transactions on the ongoing operations of an entity Question 3 a. > > Adjustment of Amounts Reported in Prior Periods 45-13 Circumstances attendant to extraordinary items frequently require estimates, for example, of associated costs and occasionally of associated revenue, based on judgment and evaluation of the facts known at the time of first accounting for the event. Each adjustment in the
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Acct 3311 - Quiz 2 - Question 1 Component of an Entity A...

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