comp_sci_kid

some of these seems strange but here are my answers:

1) B. (totalling guessing here) 2) A. (thats a requirement under GAAP. IFRS allows both methods but prefers PC) 3) A. (there has been convergence) 4) A. (under GAAP you first need to figure if there was impairement, then come up with an implied GW value to figure out the loss) 5) C. (guessing here, given convergence) 6) C. 7) C. never heard of this method. is this pooling? 8) A. Transaction costs are always included 9) C. 10) A. under the current method, you always have a net Assets BS exposure. When the FC appreciates u have a + CTA in Equity vice versa. Your assets increase along with your liabiliies so provided your assets > Liabilities, you gain.