Which of the following statements is true concerning how derecognition of receivables is treated under IFRS and U.S.GAAP?

Question

Quizplus · Accepted Answer

Unlike U.S. GAAP, IFRS does not permit partial derecognition of receivables. The criteria used to derecognize a receivable under IFRS uses a combination of an approach focused on risks and rewards and loss of control. On the other hand, the criteria used to derecognize a receivable under U.S. GAAP primarily uses risks and rewards as the criterion. Choice A and D are incorrect because U.S. GAAP permits partial derecognition, and not all choices are true regarding derecognition of receivables under IFRS and U.S.GAAP.

Which of the Following Statements Is True Concerning How Derecognition