5 The directors of Quapaw, a limited liability company, are reviewing the company’s draft financial statements for the

year ended 31 December 2004.

The following material matters are under discussion:(a) During the year the company has begun selling a product with a one-year warranty under which manufacturing

defects are remedied without charge. Some claims have already arisen under the warranty. (2 marks)

Required:

A．dvise the directors on the correct treatment of these matters, stating the relevant accounting standard which

justifies your answer in each case.

NOTE: The mark allocation is shown against each of the three matters

[试题]5 The directors of Blaina Packaging Co (BPC), a well-established manufacturer of cardboard boxes, are currentlyconsidering whether to enter the cardboard tube market. Cardboard tubes are purchased by customers whoseproducts are wound around tubes of v

[试题]5 Ambush, a public limited company, is assessing the impact of implementing the revised IAS39 ‘Financial Instruments:Recognition and Measurement’. The directors realise that significant changes may occur in their accounting treatmentof financial instr

[单选题]The carrier is entitled to limit his liability to the stated sum per package or unit even if he failed to exercise due diligence to make the vessel（）.A . to be seaworthyB . being seaworthyC . be seaworthyD . seaworthy

[单选题]The directors will meet tomorrow, ______the schedule is changed.A． ifB． butC． unlessD． or

[试题]A．dditionally the directors wish to know how the provision for deferred taxation would be calculated in the followingsituations under IAS12 ‘Income Taxes’:(i) On 1 November 2003, the company had granted ten million share options worth $40 million subj

[试题](ii) the directors agree to disclose the note. (4 marks)

[试题]3 The directors of Panel, a public limited company, are reviewing the procedures for the calculation of the deferred taxprovision for their company. They are quite surprised at the impact on the provision caused by changes in accountingstandards such

[试题](c) Briefly discuss why the directors of HFL might choose contract D irrespective of whether or not contract Dwould have been selected using expected values as per part (a). (2 marks)

[试题]3 The directors of The Healthy Eating Group (HEG), a successful restaurant chain, which commenced trading in 1998,have decided to enter the sandwich market in Homeland, its country of operation. It has set up a separate operationunder the name of Heal

[试题](b) (i) Advise the directors of GWCC on specific actions which may be considered in order to improve theestimated return on their investment of ￡1,900,000. (8 marks)