Which one of the following is a benefit of developing financial reporting standards using a conceptual framework?

• A.A financial reporting environment based on standardised principles would be created.
• B.The interpretation of financial reporting standards by anybody would be easy.
• C.The interpretation of non-financial information is made easier.
• D.The financial statements based on these standards would be error-free.

Comment: *

Name: *

Email: *

Verification: *

The International Accounting Standards Board's Conceptual Framework for Financial Reporting for the preparation and presentation of financial statements is concerned with the information needs of most users, but not for each possible user.
Which one of the following stakeholders would not be one of the users that the Conceptual Framework is concerned about?

• A.governments and regulatory bodies
• B.a company's executive management
• C.potential investors in the company
• D.members of the public who have small investment holdings in the company

Comment: *

Name: *

Email: *

Verification: *

Which one of the following reports sets out how directors have run a company and if they implemented proper procedures to deal with matters like accountability, audits, directors' roles and responsibilities, internal controls and relations with shareholders?

• A.corporate governance statement
• B.corporate social responsibility report
• C.director's report
• D.chairman's statement

Comment: *

Name: *

Email: *

Verification: *

According to the Australian Accounting Standards Board, which one of the following is a benefit of adopting International Financial Reporting Standards (IFRSs)?

• A.to increase foreign investors' understanding of local financial reports
• B.to enable the national government to control activities of foreign multinationals
• C.to become a resource for developing nations who can easily adopt IFRSs as a full set of standards
• D.to make it easier for tax authorities to calculate taxes on investors' overseas income

Comment: *

Name: *

Email: *

Verification: *

Historical cost accounting provides financial information that is

• A.relevant but may not be reliable for decision making.
• B.relevant for decision making.
• C.relevant and reliable for decision making.
• D.reliable but may not be relevant for decision making.

Comment: *

Name: *

Email: *

Verification: *