All of the following statements regarding accounting treatments for liabilities under u. s. gaap and ifrs are true except: accounting for bonds and notes under u. s. gaap and ifrs is similar. both u. s. gaap and ifrs require companies to distinguish between operating leases and capital leases. the criteria for identifying a lease as a capital lease are more general under ifrs. both u. s. gaap and ifrs require companies to record costs of retirement benefits as employees work and earn them. use of the fair value option to account for bonds and notes is not acceptable under u. s. gaap or ifrs.

Consider the following potential events that might have occurred to global on december​ 30, 2016. for each​ one, indicate which line items in​ global's balance sheet would be affected and by how much. also indicate the change to​ global's book value of equity. a. global used $ 19.8$19.8 million of its available cash to repay $ 19.8$19.8 million of its​ long-term debt. b. a warehouse fire destroyed $ 4.9$4.9 million worth of uninsured inventory. c. global used $ 4.6$4.6 million in cash and $ 5.1$5.1 million in new​ long-term debt to purchase a $ 9.7$9.7 million building. d. a large customer owing $ 3.2$3.2 million for products it already received declared​ bankruptcy, leaving no possibility that global would ever receive payment. e. ​global's engineers discover a new manufacturing process that will cut the cost of its flagship product by more than 48 %48%. f. a key competitor announces a radical new pricing policy that will drastically undercut​ global's prices.