2023年江西财经大学高级财务会计国际学院题库.pdfVIP

AdvancedAccounting,lie

(Beams/Anthony/Bettinghaus/Smith)

Chapter7IntercompanyProfitTransactions-Bonds

MultipleChoiceQuestions

1)Ifthepricepaidbyaparentcompanytoacquirethedebtofasubsidiaryisgreaterthantheboovalue

oftheliability,aoccurs.

A)realizedlossontheretirementofdebtfromtheviewpointofthesubsidiary

B)realizedgainontheretirementofdebtfromtheviewpointofthesubsidiary

C)constructivelossontheretirementofdebtfromtheviewpointoftheconsolidatedentity

D)constructivegainontheretirementofdebtfromtheviewpointoftheconsolidatedentity

Answer:C

Objective:LOI

Difficulty:Easy

2)Ifanaffiliatepurchasesbondsintheopenmaret,theboovalueoftheintercompanybondliabilityat

thetimeofpurchaseis

A)alwaysassignedtotheparentcompanybecauseithascontrol.

B)theparvalueofthebondslesstheunamortizeddiscountorplustheunamortizedpremium.

C)parvalue.

D)theparvalueofthebondsplustheunamortizeddiscountorlesstheunamortizedpremium.

Answer:B

Objective:LOI

Difficulty：Easy

3)Bondsissuedbyacompanyremainontheirboosasaliability,butareconsideredconstructively

retiredwhen

A)thecompanyborrowsmoneyfromunaffiliatedentitiestore-purchaseitsownbondsatagain.

B)Thecompanyborrowsmoneyfromanaffiliatetore-purchaseitsownbondsatagain.

C)Thecompanysparentorsubsidiarypurchasesthebondsfromoutsideentities.

D)Thecompanyborrowsmoneyfromanaffiliatetorepurchaseitsownbondsatagainorataloss.

Answer:C

Objective:LOI

Difficulty:Easy

Usethefollowinginformationtoanswerthequestion(s)below.

PascalianCompanyownsa90%interestinSappCompany.OnJanuary1,,Pascalianhad$300,000,6%

bondsoutstandingwithanunamortizedpremi