MCQs in lecture from ch 2 1. Accounting theories should be A. Inductive B. Deductive C. Descriptive D. None of the given options is correct 2. Which of the following statements is true about accounting measurements such as profits and assets? A. They are subject to professional judgment B. They would not vary if prepared by different accountants, providing they were based on the same set of accounting standards C. They are based on hard, objective, evidence D. All of the given options are correct 3.
Which of the following statements is true about the regulation of accounting practice in its early period of development?
A. Accounting was largely determined by accounting theory B. Accounting was largely determined by accounting standards issued by the accounting profession C. Accounting was largely determined by the national Securities and Exchange Commissions and resulting legislation D. Accounting was largely determined by generally-accepted practice 4. Who has overall responsibility for issuing accounting standards in Australia? A. The Financial Reporting Council (FRC) B.
The Australian Accounting Standards Boards (AASB) C. The International Accounting Standards Board (IASB) D.
The Australian Accounting Research Foundation (AARF) MCQs in lecture from ch 3 5. Which of the following propositions is not true if we accept the notion that accounting regulation is considered to be the output of a political process? A. Financial accounting is objective, neutral and apolitical B. Standard-setting bodies encourage affected parties to make submissions on draft versions of the proposed accounting standards C. Many decisions that are made are the outcome of compromise D. If the social welfare impact of accounting policies were ignored, the basis for the existence of a regulatory body would disappear . It is argued by the pro-regulation supporters that accounting information is a free or public good. What is the characteristic of a free or public good? A. It is a good or service provided at no cost to anyone B. It is a good or service whose over-production is an example of market failure C. It is a good or service that, once available, people can obtain or use without paying D. All of the given options are correct Answers: Qs 1 is D | Qs 3 is D | Qs 5 is A | Qs 2 is A | Qs 4 is B | Qs 6 is C |
Cite this International Financial Reporting Standards and Accounting Standards
International Financial Reporting Standards and Accounting Standards. (2016, Oct 13). Retrieved from https://graduateway.com/international-financial-reporting-standards-and-accounting-standards/