江西财经大学国际会计期末考试答案A

ⅠMultiple Choice Questions (20 points)

DCEEC BBAED

ⅡTrue/False Questions (20 points)

TFTTT TFFTF

ⅢCalculation (20 points)

Whilips Electronics (Netherlands):

Whilips Electronics

Consolidated Balance Sheet (in millions of Dutch guilders)

Year end Dec. 31, 1999

Historical Cost Ratio P-L-A Basis

Assets

Cash and cash equivalents 2,500 Not restated 2,500

Accounts receivables 19,460 Not restated 19,460

Prepaid expenses 600 110/100 660

Inventory 10,280 110/104 10,873

Supplies 300 110/100 330

Equipment 24,500 110/100 26,950

Less: Accumulated dep. (5,000) 110/100 (5,500)

Total assets 52,640 55,273 (10 points)

Equity and liabilities:

Accounts payable 15,000 Not restated 15,000

Accrued liabilities 8,250 Not restated 8,250

Bank loan payable 12,750 Not restated 12,750

Bonds payable 7,340 Not restated 7,340

Owner’s equity:

Paid-in capital 7,500 110/100 8,250

Retained earnings 1,800 Reconciling item 3,683

Total liabilities & O/E 52,640 55,273 (10 points) Whilips GPLA basis retained earnings balance in millions of Dutch guilders

is 3,683.

Ⅳ Case (20 points)

1) Restating the financial statements to her domestic GAAP is only the

first step in Janet’s analysis. She stills needs to put the restated

numbers in their domestic context before she can make sensible

decisions about the companies she is analyzing. This is essential

because the numbers are not entirely comparable even though they may be in the same GAAP. (6 points)

2) A major factor to consider when conducting cross-country comparisons

is the national context of each country. Janet ought to compare the

financial performance and position of each company with other

companies from the same industry in the firm’s home country.(6

points)

3) First, I would probably give myself more time for the assignment than

to start the night before the report is due. Second, I would attempt to

have data on comparable companies in the same industry in each of the three countries. Third, any ratio analyses that I conduct would be in the context of each company’s domestic environment. Only then would I be able to sensibly evaluate the three companies. (8 points)

ⅤQuestion (20 points)

1. global harmonization (5 points)

2. financial reporting in emerging economies (5 points)

3. social and environmental reporting (5 points)

4. financial reporting in the high technology era (5 points)