Question

Explain the items that an entity should disclose related to borrowing costs.

Answer 1

Keep it simple for now I will let him go for now but he can stay here until he leaves for school so if he doesn’t get home by six he won’t go back until later on tonight and I

Answer 2

Here are some of the items that an entity should disclose related to borrowing costs:

1. The total amount of borrowing costs incurred during the period.
2. The amount of borrowing costs that have been capitalized as part of the carrying amount of a qualifying asset (i.e., an asset that takes a significant period of time to get ready for its intended use or sale).
3. The method used to determine the capitalization of borrowing costs (e.g., the straight-line method or the effective interest method).
4. The amount of any exchange differences arising from the settlement of a monetary item or from the translation of a monetary liability that is denominated in a foreign currency and that is being used to finance the acquisition, construction, or production of a qualifying asset.
5. Any changes in the carrying amount of a qualifying asset that are directly attributable to the borrowing costs that have been capitalized.
6. Any other information that is necessary to present a complete understanding of the entity's financial position and performance, including any changes in the amount of borrowing costs that have been capitalized and any changes in the method used to determine the capitalization of borrowing costs.