Question 1

Which of the following statements is correct?

Accepted Answer

A) IFRS issued by the IASB currently consist of eleven standards issued since the formation of the IASB in 2001. 
B) IAS issued by the IASC from its beginning in 1971 that have not been superseded by the IFRS.Currently of the original forty-one IAS,ten are still in effect. 
C) Financial statements can be described as complying with IFRS as long as they comply with two out of the whole requirements of IFRS. 
D) Interpretations originated by the IFRIC or its predecessor,the SIC.Currently,sixteen IFRIC and eleven SIC are still in effect. 
A) IFRS issued by the IASB currently consist of eleven standards issued since the formation of the IASB in 2001. 
B) IAS issued by the IASC from its beginning in 1971 that have not been superseded by the IFRS.Currently of the original forty-one IAS,ten are still in effect. 
C) Financial statements can be described as complying with IFRS as long as they comply with two out of the whole requirements of IFRS. 
D) Interpretations originated by the IFRIC or its predecessor,the SIC.Currently,sixteen IFRIC and eleven SIC are still in effect. D

Question 2

Which of the following values related to relevance do financial information have?

Accepted Answer

A) Predictive value 
B) Confirmative value 
C) Materiality 
D) All of the above 
A) Predictive value 
B) Confirmative value 
C) Materiality 
D) All of the above D

Question 3

Of the following,what information is not provided by reporting entities in their financial statements?

Accepted Answer

A) Economic resources 
B) Claims against the reporting entity 
C) The effects of transactions 
D) Projections of future financial information 
A) Economic resources 
B) Claims against the reporting entity 
C) The effects of transactions 
D) Projections of future financial information D

Question 4

Which following characteristics would a perfectly faithful representation have?

Accepted Answer

A) Completeness 
B) Neutrality 
C) Free from error 
D) All of the above 
A) Completeness 
B) Neutrality 
C) Free from error 
D) All of the above

Question 5

Where is "Cash flows related to taxation" usually categorized under IFRS?

Accepted Answer

A) Operating Activities 
B) Investing Activities 
C) Financing Activities 
A) Operating Activities 
B) Investing Activities 
C) Financing Activities

Question 6

Which following components in the Framework overrides specific standards?

Accepted Answer

A) Objective of general purpose financial statements 
B) Qualitative characteristics 
C) Recognition and measurement 
D) Presentation and disclosure 
E) None of the above 
A) Objective of general purpose financial statements 
B) Qualitative characteristics 
C) Recognition and measurement 
D) Presentation and disclosure 
E) None of the above

Question 7

IFRS applies to which type of entities?

Accepted Answer

A) Governmental entities 
B) Profit-oriented entities 
C) Not-for-profit entities 
D) All of the above 
A) Governmental entities 
B) Profit-oriented entities 
C) Not-for-profit entities 
D) All of the above

Question 8

Which of the following is not included in financial statements?

Accepted Answer

A) Statement of financial position 
B) Statement of comprehensive income 
C) Accounting standards and notes from management 
D) Statement of changes in equity 
A) Statement of financial position 
B) Statement of comprehensive income 
C) Accounting standards and notes from management 
D) Statement of changes in equity

Question 9

Which of the following is not included in the income statement?

Accepted Answer

A) Finance costs 
B) Share of profit and loss from equity method 
C) Extraordinary operations 
D) Tax expense 
A) Finance costs 
B) Share of profit and loss from equity method 
C) Extraordinary operations 
D) Tax expense

Question 10

Which of the following statements about fair value is not correct?

Accepted Answer

A) Fair values are relevant because they reflect conditions relating to economic resources and obligations,under which financial statement users will make decisions 
B) Fair values are neutral because they are unbiased 
C) Fair values have predictive value because they help predict future cash flows of interest to investors in valuing equity 
D) Fair values are not consistently applied because they reflect the same type of information every period 
A) Fair values are relevant because they reflect conditions relating to economic resources and obligations,under which financial statement users will make decisions 
B) Fair values are neutral because they are unbiased 
C) Fair values have predictive value because they help predict future cash flows of interest to investors in valuing equity 
D) Fair values are not consistently applied because they reflect the same type of information every period

Question 11

Which of the following enhance qualitative characteristics of a financial report?

Accepted Answer

A) Comparability 
B) Verifiability 
C) Timeliness 
D) Understandability 
E) All of the above 
A) Comparability 
B) Verifiability 
C) Timeliness 
D) Understandability 
E) All of the above

Question 12

Financial statements are directed towards the informational needs of the following capital providers except:

Accepted Answer

A) current investors 
B) potential investors 
C) creditors and other lenders 
D) regulators,employees,and taxing authorities 
A) current investors 
B) potential investors 
C) creditors and other lenders 
D) regulators,employees,and taxing authorities

Question 13

Does IFRS allow for the presentation of extraordinary items or gains and losses as a separate element of the income statement and the inclusion of "deferred tax assets/liabilities under current assets and current liabilities?

Accepted Answer

A) Yes,Yes 
B) Yes,No 
C) No,Yes 
D) No,No 
A) Yes,Yes 
B) Yes,No 
C) No,Yes 
D) No,No

Question 14

Which of the following is not a component of the Conceptual Framework for Financial Reporting?

Accepted Answer

A) Objective of general purpose financial statements 
B) Presentation and disclosure 
C) Legitimacy and rationality 
D) Recognition and measurement 
A) Objective of general purpose financial statements 
B) Presentation and disclosure 
C) Legitimacy and rationality 
D) Recognition and measurement

Question 15

Does IFRS include non-cash investing and financing activities in the statement of cash flows?

Accepted Answer

A) Yes 
B) No 
A) Yes 
B) No

Question 16

IFRS' statement of comprehensive income shows the following categories:

Accepted Answer

A) Profit or loss) 
B) List of items of comprehensive income 
C) Total comprehensive income 
D) All of the above 
A) Profit or loss) 
B) List of items of comprehensive income 
C) Total comprehensive income 
D) All of the above

Which of the following statements is correct?

Which of the following values related to relevance do financial information have?

Of the following,what information is not provided by reporting entities in their financial statements?

Which following characteristics would a perfectly faithful representation have?

Where is "Cash flows related to taxation" usually categorized under IFRS?

Which following components in the Framework overrides specific standards?

IFRS applies to which type of entities?

Which of the following is not included in financial statements?

Which of the following is not included in the income statement?

Which of the following statements about fair value is not correct?

Which of the following enhance qualitative characteristics of a financial report?

Financial statements are directed towards the informational needs of the following capital providers except:

Does IFRS allow for the presentation of extraordinary items or gains and losses as a separate element of the income statement and the inclusion of "deferred tax assets/liabilities under current assets and current liabilities?

Which of the following is not a component of the Conceptual Framework for Financial Reporting?

Does IFRS include non-cash investing and financing activities in the statement of cash flows?

IFRS' statement of comprehensive income shows the following categories:

Background of IFRS

Key Differences Between IFRS and US-Part 1

Key Differences Between IFRS and US-part 2

IFRS for Small-And Medium-Sized Entities

The Current Status and Future of IFRS

Filters

Exam 2: IFRS Conceptual Framework and Financial Statements

Which of the following statements is correct?

Which of the following values related to relevance do financial information have?

Of the following,what information is not provided by reporting entities in their financial statements?

Which following characteristics would a perfectly faithful representation have?

Where is "Cash flows related to taxation" usually categorized under IFRS?

Which following components in the Framework overrides specific standards?

IFRS applies to which type of entities?

Which of the following is not included in financial statements?

Which of the following is not included in the income statement?

Which of the following statements about fair value is not correct?

Which of the following enhance qualitative characteristics of a financial report?

Financial statements are directed towards the informational needs of the following capital providers except:

Does IFRS allow for the presentation of extraordinary items or gains and losses as a separate element of the income statement and the inclusion of "deferred tax assets/liabilities under current assets and current liabilities?

Which of the following is not a component of the Conceptual Framework for Financial Reporting?

Does IFRS include non-cash investing and financing activities in the statement of cash flows?

IFRS' statement of comprehensive income shows the following categories:

Background of IFRS

Key Differences Between IFRS and US-Part 1

Key Differences Between IFRS and US-part 2

IFRS for Small-And Medium-Sized Entities

The Current Status and Future of IFRS

Filters