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NEW QUESTION: 1
Debtor Bank on a 10-year, 15% note in the amount of US $100,000, plus US $30,000 accrued interest. Because if financial difficulty. Debtor has been unable to make annual interest payments for the past 2 years and the n-ate is due today. Accordingly. Bank legally agreed to restructure
Debtor's debt as follows:
The US $30.000 of accrued interest was forgiven.
Debtor was given 3 more years to pay off the debt at 8% interest. Payments are to be made annually at year-end. The present value of the payments using the prevailing rate for similar instruments of an issuer with a similar credit rating is US $84.018.
At the date of the restructuring, Debtor properly records:
A. A loss of US $30.000.
B. A gain of US $45,982.
C. No gain or loss because no extinguishments occurred.
D. A gain of US $30.000.
Answer: B
Explanation:
Derecognition of a financial liability or a part) occurs only by means of extinguishment.
This condition is satisfied only when the debtor pays the creditor or is legally released from primary responsibility either by the creditor or through the legal process. An extinguishment and derecognition of the old debt and recognition of new debt occurs when the borrower and lender exchange debt instruments with substantially different terms, that is, when the respective discounted cash flows differ by at least 10%. A substantial modification of terms is also accounted for as an extinguishment. The difference between the carrying amountincluding unamortized costs) of a liabilityor part) that has been extinguished or transferred and the amount paid is included in profit or loss. This transaction qualifies as an extinguishment based on a substantial modification of terms because the discounted cash flow from the old debtUS $130.000 due immediately and the new debtgiven as US $84.018) differ by at least 10%. Hence, the amount included by Debtor in profit or loss at the date of the restructuring is a US $45,982 gain$130.000 - $84.018) that is. the difference between the carrying amount extinguished and the amount paid the present value of the new debt instrument determined by discounting the cash outflows at the prevailing rate for similar instruments of an issuer with a similar credit rating). The entry is to debit the extinguished liability for accrued interest and principal US $130.000), debit discount on note payable US $15,982), credit note payable US $100.000) and credit gain US $45,982).

NEW QUESTION: 2
A My Reports report has been designed to return the assets associated with the user logged into the system. When the report is run by the user it returns all the assets in the database. The user has been assigned assets. The assets display correctly in the user's people record and the proper forward association from the perspective of the people Has Assets and the reverse association Is Asset Of has been created.
What could be wrong with the report?
A. The association's filter property Reverse Association is set to Yes.
B. The association filter is using the business object of triPeople as the filter's object.
C. The association filter is using the keyword $$RECORDID$$ for the record.
D. The association filter is using the string Has Assets.
Answer: C

NEW QUESTION: 3
What data flow should be used for UI navigation and data processing?
Options are :
A. Flowchart
B. Sequence
C. State Machine
Answer: B

NEW QUESTION: 4
Refer to the exhibit.

RTA is configured with a basic configuration. The link between the two routers is operational and no
routing protocols are configured on either router. The line shown in the exhibit is then added to router
RTA.
Should interface Fa0/0 on router RTB shut down, what effect will the shutdown have on router RTA?
A. Because router RTB will send a poison reverse packet to router RTA, RTA will remove the route.
B. A route to 172.16.14.0/24 will remain in the RTA routing table.
C. A packet to host 172.16.14.225 will be dropped by router RТА.
D. Router RTA will send an ICMP packet to attempt to verify the route.
Answer: B
Explanation:
Explanation/Reference:
Reference:
http://www.cisco.com/en/US/tech/tk365/technologies_tech_note09186a00800ef7b2.shtml