Debt vs equity
this financial statement item usually comes with a right to enforce payment.
What are bonds?
These types of bonds are typically issued by private companies to generate short term capital.
What are corporate bonds?
these are the primary issuers of notes payable.
What are banks and private lenders?
This IFRS guidance defines financial liabilities as contractual obligations to deliver cash or another financial asset to another enterprise.
What is IAS no.32?
This trait is what sets apart short term and long term liabilities.
What is a term longer than a year?
this type of debt possesses aspects of both debt and equity.
What is convertible debt?
these types of bonds are considered to be among some of the lowest risk bonds.
What are government bonds?
Deferrals usually result from this type of accounting system.
What is double entry accounting?
This IFRS guidance allows companies to perform hedge accounting methods assuming proper criteria have been met.
What is IFRS no.9?
This company recently fell into the junk bond category as a result of the COVID 19 pandemic.
What is the ford motor company?
one of the main reasons for issuing stocks over bonds is to keep this off the books.
What is debt?
the use of borrowed funds resulting from bonds is known as this.
What is financial leverage?
This deferral is no longer considered to meet the proper definitions of a deferral and is closer to asset valuation.
What is unrealized gross profit?
IFRS no.7 has disclosure requirements for this financial item at fair value and at amortized cost.
What are financial liabilities?
Zero coupon bonds are the most appealing to this group of people.
What are pensioners?
Securities issued by a company in a dire financial situation are most likely to be considered this.
What is equity?
Zero coupon bonds amortize this figure over time in lieu of a traditional periodic interest expense.
What is the deep discount?
This FASB statement established the two primary types of contingencies, gain and loss contingencies.
What is SFAS no.5 / accounting for contingencies?
IAS no.37 indicates that these should be recognized in the balance sheet when an enterprise has a present obligation as a result of a past event with a high probability of a large expenditure that can be reasonably estimated will be required to settle it.
What are provisions?
This theory depicts the accounting equation as assets = equity.
What is the entity theory?
Upon issuing this guidance, companies became required by the IFRS to report mandatorily redeemable preferred stock as a liability on balance sheets.
What is SFAS no.150?
the accounting principles board issued this statement that established a standardized method to record the gain or loss resulting from a call provision.
What is opinion no.26 / early extinguishment of debt?
according to this principle, reporting deferred credits requires that revenue recognition be postponed until there is assurance that it’s earned while expenses are to be recorded as incurred.
What is conservatism?
This IFRS guidance defines the difference between short and long term liabilities.
What is IAS no.1?
This term is used to refer to any financial statement items that possess characteristics of both debt and equity.
What are complex financial instruments?