Solutions Manual

For use with

Advanced
Accounting
Volume 2

A Procedural Approach

2008 Edition

P.P. Guerrero J.F. Peralta

To The Instructor

This Solutions Manual contains suggested solutions to all the Multiple Choice and Problems
for the 2008 edition of Advanced Accounting A Procedural Approach. All solutions have
been prepared by the authors to ensure accuracy and consistency with the discussion and
illustration in the textbook.

Multiple Choices
The multiple choices are designed to cover a variety of conceptual situations included in each
chapter. Solving these should reinforce the students knowledge of accounting and also test
their understanding of the points covered. You may choose to assign selected multiple
choices to supplement the problems assigned in each chapter. Most of the multiple choices
require a limited amount of computations and are well suited for inclusion in quizzes or
examinations.

Problems
Problems have been provided at the end of each chapter more than you can reasonably use in
a single offering of the course. This abundance of problems allows you to vary problem
assignments in different sections of the course, or from semester to semester, and to choose
these problems that best fit the scope, level and emphasis of your course.

Final Note
The Solutions Manual intended to accompany the Revised 2008 Edition of Advanced
Accounting A Procedural Approach had been prepared carefully and reviewed thoroughly
to ensure that the instructors who adopt this textbook are provided with all possible assistance
in making their course effective. In the final analysis, however, any given course is shaped
primarily by the person who teaches it, and the success of our efforts will be proven through
extensive experience in the classroom. We will appreciate any comments and suggestions
from you no matter how minor the point involved. Please address correspondence to Pedro
P. Guerrero, CPAR Building, 837 F. Cayco st., Sampaloc, Metro Manila or you may email
me at ppg@pldtdsl.net.

P. P. Guerrero
J. F. Peralta
Contents

CHAPTER 12: Home Office and Branch General Procedures

CHAPTER 13: Home Office and Branch Special Problems

CHAPTER 14: Business Combination (PFRS 3)

CHAPTER 15: Consolidated Balance Sheet Date of Acquisition

CHAPTER 16: Consolidated Financial Statements (PAS 27) - Subsequent toDate

of Purchase Type of Business Combination.

CHAPTER 17: Inter-comp any Profit Transactions Inventories

CHAPTER 18: Inter-company Gain Transactions Plant Assets

CHAPTER 19: Accounting for Foreign Currency Transactions

CHAPTER 20: Translation of Foreign Currency Financial Statements

CHAPTER 21: New Government Accounting System for National Government

Agency

CHAPTER 22: Nonprofit Organizations.