$1,000
OE
$0
$1,000
$1,078 OE
$98
20 Bond A
$1,090
1,078 OE
$1,098
8
$1,098
20 Bond A
1,078 OE
$1,098
922
176
$1,098
(business combination)
statement
liabilities
Includes some investments accounted for under
instruments
Rights & obligations under insurance
contracts, warranties
Disclosures
Fair-value measured items must be reported
value
value
versus
financial reporting is
improved by fair value
measurement
US GAAP
Instrument by instrument
decision
Applies only to items
Determination is made at
Determination is made at
HW #2
Problems 1 & 2 are similar problems to the examples in this
ppt file. However, I havent asked for journal entries but you
will get a feel for the IMPACT the fair value option could have
on the bottom line
Remember that you have to do the I/S before the B/S
Well do PART of Problem 3 in the lecture for class #4