Tổng hợp trắc nghiệm Kế toán quốc tế 1

Tổng hợp trắc nghiệm Kế toán quốc tế Topic 1: Conceptual framework Which one of the following would be classified as a liability? a Expansion is planning to invest in new machinery and has been quoted a price of $570,000 b Reckless purchased an investment months ago for $120,000 The market for these investments has now fallen and Reckless’s investment is valued at $90,000 (S) c Carter has estimated the tax charge on its profits for the year just ended at $165,000 d Dexter’s business manufactures a product under licence In 12 month’s time the licence expires and Dexter will have to pay $50,000 for it to be renewed Which of the following is a possible advantage of a rules-based system of financial reporting? a It prevents a fire-fighting approach to the formulation of standards b It ensures that no standards conflict with each other (S) c It offers accountants more protection in the event of litigation d It encourages the exercise of professional judgement* Which of the following basic elements of financial statements is more associated with the statement of financial position than the income statement? a Gains b Expenses c Income d Equity Which of the following staments is relation to income is true? a Gains are normally reported separately from revenue in the Statement of profit or loss and other comprehensive income due to the different probabilities attached to that type of income b The conceptual framework requires that all items of income are reported on a net basis c The conceptual framework defines income as an increase in economic benefits which results in an increase in equity.* d Gains and revenue are different in nature and therefore are recognised as separate elements of the financial statements per the conceptual framework (S) The International Accounting Standards Board’s (IASB’s) Conceptual Framework includes all of the following except: a Comparability* b Relevance c Neutrality d Materiality (S) Which of the following best describes the role of the IFRS Advisory Coucil? a To select the members of the IASB b To prepare interpretations of international Accounting Standards c To promote the use of International Accounting Standards among its members d To provide the IASB with the views of its members on standard setting projects What is meant by comparability when discussing fianancial accouting information? a Information is timely b Information that is measured and reported in a similar fashion across companies c Information is reasonably free from error d Information has predictive or feedback value Comparability is identified as an enhancing qualitative characteristic in the IASB’s Conceptual Framework for Financial Reporting Which of the following does NOT improve comparability? a Disclosing discontinued operations in financial statements b Restating the financial statements of previous years when there has been a change of accounting policy c Prohibiting changes of accounting policy unless required by an IFRS or to give more relevant and reliable information d Applying an entity’s current accounting policy to a transaction which an entity has not engaged in before Which of the following is a fundamental quality of useful accounting information? a Comparability b Faithful representation c Consistency d Conservatism 10 What is a purpose of having a conceptual framework? a To enable the profession to more quickly solve emerging practical problems and to provide a foundation from which to build more useful standards b To make sure that economic activity can be identified with a particular legal entity c To provide comparable information for different companies d To segregate activities among competing companies 11 The conceptual framework for financial reporting lists the qualitative characteristics of financial statements: (i) comparability; (ii) verifiability; (iii) timeliness; (iv) understandability; (v) relevance; (vi) faithful representation Which two of the above are not included in the enhancing qualitative characteristics listed by the conceptual framework? a (v) and (vi) * b (iv) and (v) c (ii) and (v) d (i) and (vii) (S) 12 The International Accounting Standards Board’s (IASB’s) Conceptual Framework includes all of the following except: a Objective of financial reporting b Supplementary information* c Qualitative characteristics of accounting information (S) d Elements of financial statements 13 What is the objective of general-purpose financial reporting? a To provide a metric for financial information used to determine when the boundary between two or more entities should be disregarded and the entities considered to be a licensing arrangement b To provide companies with the option to select information that favors one set of interested parties over another c To provide users with financial information that implies total freedom from error d To provide financial information about the reporting entity that is useful to present and potential equity investors, lenders, and other creditors in making decisions in their capacity as capital providers 14 Which of the following statements is incorrect in relation to the recognition criteria for elements of the financial statements? a Income is recognised when an increase in future economic benefits related to a decrease in an assets or an increase in a liability that has arisen can be measured reliably b Liabilities are recognised when it is probable that an outflow of resources embodying economic benefits will result from the settlement of a present obligation and the amount at which settlement will take place can be measured reliably c Assets are recognised when it is probable that future economic benefits will flow to the entity and the asset has a cost or value that can be measured reliably (S) d Because equity is the arithmetic difference between assets and liablities, a separate recognition criteria for quity is not needed in the conceptual framework 15 Changing the mothod of inventory valuation should be reported in the financial statements under what qualitative characteristic of accounting information? a Consistency b Comparability c Verifiability d Timeliness 16 Which of the following accounting treatments correctly applies the principle of faithful representation? a Excluding a subsidiary from consolidation because its activities are not compatible with those of the rest of the group b Reporting a transaction based on its legal status rather than its economic substance c Recording the whole of the net proceeds from the issue of a loan note which is potentially convertible to equity shares as debt (liability) (S) d Allocating part of sales proceeds of a motor vehicle to interest received even though it was sold with 0% (interest free) finance 17 Which of the bodies listed below is responsible for revewing International Accounting Standards and issuing guidance on their application? a IFRS Advisory Council b IFRS Interpretation Committee c International Accounting Standards Board d IFRS Foundation 18 Company A issuing its annual financial reports within one month of the end of the year is an example of which enhancing quality of accounting information? a Timeliness b Verifiability c Comparability d Understandability 19 Which of the following is not true concerning a conceptual framework in accounting? a It should be a basis for standard-setting b It should allow practical proplems to be solved more quickly by reference to it c It should be based on fundamental truths that are derived from the laws of nature d All of these answers are correct 20 Which of the following measurement base(s) should be used by an entity according to the conceptual framework for financial reporting? a Current cost b Any of the above c Present value d Historicial cost 21 Which of the following is a fundamental quality of useful accounting information? a Relevance b Neutrality c Comparability d Materiality Topic 2: Property, Plant and Equipment (PPEs) (IAS16) Which one of the following would occur if the purchase of computer stationary was debited to the computer equipment at cost account? a An overstatement of profit and an understatement of non-current assets (S) b An overstatement of profit and an overstatement of non-current assets c An understatement of profit and an overstatement of non-current assets d An overstatement of profit and an understatement of non-current assets Which of the following statements are correct? 1/ IAS 16 Property, plant and equipment requires entities to disclose the purchase date of each asset 2/ The carrying amount of a non-asset is the cost or valuation of that assets less accumulated depreciation 3/ IAS 16 Property, plant and equipment permits entities to make a transfer from the revaluation surplus to retained earning for excess depreciation on revalued assets 4/ Once decided, the useful life of a non-current asset should not be changed a 1, and (S) b 1, and c and d and B acquired a lorry on May 20X0 at a cost of $30,000 The lorry has an estimated useful life of four years, and an estimated resale value at the end of that time of $6,000 B charges depreciaton on the straight line basic, with a proportionate charge in the period of acquistion What will the depreciation charge for the lorry be in B’s accounting period to 30 Sept 20X0? a $5,000 b $3,000 c $2,500 ((30000-6000)/4/12*5) d $2,000 The carrying value of a company’s non-current assets was $200,000 at August 20X0 During the year ended 31 Jul 20X1, the company sold non-current assets for $25,000 on which made a loss of $5,000 The depreciation charge for the year was $20,000 What was the carrying value of noncurrent assets at 31 Jul 20X1? a $155,000 b $160,000 c $150,000 (200.000-20.000-25.000-5.000) d $180,000 A company bought a property years ago from Jan for $170,000 Since then property prices have risen substantially and the property has been revalued at $210,000 The property was estimated as having a useful life of 20 years when it was purchased What is the balance on the revaluation surplus reported in the statement of financial position? a $136,000 b $34,000 c $210,000 d $74,000 (Khấu hao năm=170.000/20*4=34.000; GTGS=170.000-34.000=136.000; ĐGLtăng=210.000-136.000=74.000) Which one of the following statements correctly defines non-current assets? a Non-monetary assets without physical substance that are controlled by the entity and from which future benefits are expected to flow b Assets in the form of materials or supplies to be consumed in the production process c Assets that are held for use in the production of goods or services and are expected to be used during more than one accounting period d Assets which are intended to be used by the business on a continuting basic, including both tangible and intangible assets that not meet the IASB definition of a current asset W bought a new printing machine The cost of machine was $80,000 The installation cost was $5,000 and the employees received training on how to use the machine, at a cost of $2,000 Before using the machine to print customer’s order, a test was undertaken and the paper and ink cost $1,000 What should be the cost of machine in the company’s statement of financial position? a $85,000 b $80,000 c $86,000 d $88,000 A company sells machine B for $50,000 cash on 30 Apr 20X4 Machine B cost $100,000 when it was purchased and has a carrying value of $65,000 at the date of disposal What are the journal entries to record the disposal of machine B? a Dr Accumulated depreciation: $35,000; Dr Loss on disposal (SPL): $15,000; Dr Cash: $50,000 / Cr Non-current assets – cost: $100,000 b Dr Accumulated depreciation: $35,000; Dr Cash: $50,000 / Cr Non-current assets – cost: $65,000; Cr Profit on disposal (SPL): $20,000 c Dr Accumulated depreciation: $35,000; Dr Non-current assets – cost: $65,000 / Cr Profit on disposal (SPL): $20,000; Cr Cash: $50,000 d Dr Accumulated depreciation: $65,000; Dr Loss on disposal (SPL): $35,000 / Cr Non-current assets – cost: $100,000 Which of the following should be disclosed for tangible non-current assets according to IAS 16 Property, plant and equipment? 1/ Depreciation methods used and the total depreciation allocated for the period 2/ A reconciliation of the carrying amount of non-current assets at the beginning and end of the period 3/ For revalued assets, whether an independent valuer was involved in the valuation 4/ For revalued assets, the effective date for revaluation a 1, 2, and b 1, and c 1, and d and 10 What is the purpose of charging depreciation in accounts? a To allocate the cost of a non-current asset over the accounting periods expected to benefits from its use b To account for wearing out’ of the asset over its uses c To ensure that funds are available for the eventual replacement of the asset d To reduce the cost of the asset in the statement of financial position to its estimated market value Topic Intangible asset (IAS 38) Mini Corp acquires a patent from Maxi Co in exchange for 2,500 shares of Mini Corp.’s €5 par value ordinary shares and €85,000 cash When the patent was initially issued to Maxi Co., Mini Corp.’s shares were selling at €7.50 per share When Mini Corp acquired the patent, its shares were selling for €9 a share Mini Corp should record the patent at what amount? a €85,000 b €107,000 (9*2.500+85.000) c €103,750 d €97,500 Goodwill is: a None of the above b The excess of the fair value of a business over the fair value of all net identifiable assets c Only recorded by the seller of a business d Amortized over the greater of its estimated life or forty years The intangible asset goodwill may be: a written off directly to retained earnings b capitalized only when created internally c capitalized either when purchased or created internally d capitalized only when purchased According to IAS 38 Intangible assets, which of the following statements about research and development expenditure are correct? 1.Research expenditure, other than capital expenditure on research facilties, should be recognised as an expense as incurred; 2.In deciding whether development expenditure qualifies to be regconised as an asset, it is necessary to consider whether there will be adequate finance available to complete the project; 3.Development expenditure regconised as an asset must be amortised over a period not exceeding five years a 1, b 2, c 1, d 1, 2, An exclusive 20-year right to manufacture a product or use a process is a: a Franchise b Patent c Copyright d Trademark IFRS requires that start-up costs and initial operating losses during the early years be capitalized a True b False Which of the following methods of amortization is normally used for intangible assets? a Straight-line b Double-declining-balance c Sum-of-the-years’-digits d Units of production Which of the following costs should be capitalized in the year incurred? a Development costs b Costs to successfully defend a patent c Organizational costs d Costs to internally generate goodwill.* The legal life of a patent is generally: a Life of the inventor plus fifty years b Indefinite c Twenty years d Forty years 10 Which of the following intangible assets should be shown as a separate item on the statement of financial position? a b c d Trademark Goodwill Patent Franchise 11 According to IAS 38 Intangible assets, which of the following are intangible non-current assets in the accounts of Ita Co? A patent for a new glue purchased for $20,000 by Ita Co; Development costs capitalized in accordance with IAS 38; A licence to broadcast a television series, purchased by Ita Co for $150,000; A state of the art factory purchased by Ita Co for $1.5 million a 1, and b and c and d 2, and 12 Under International Financial Reporting Standards, research expenditures are: a Expensed if unsuccessful, capitalized if successful b Capitalized if certain criteria are met c Expensed in the period they are determined to be unsuccessful d Expensed in the period incurred 13 In January of 2013, Vega Corporation purchased a patent at a cost of $200,000 Legal and filing fees of $50,000 were paid to acquire the patent The company estimated a 10-year useful life for the patent and uses the straight-line amortization method for all intangible assets In 2016, Vega spent $40,000 in legal fees for an unsuccessful defense of the patent The amount charged to income (expense and loss) in 2016 related to the patent should be: a $215,000 b $25,000 c $40,000 d $65,000 14 Cromartie LTD prepares its financial statements according to International Financial Reporting Standards During 2013 the company incurred $1,245,000 in research expenditures to develop a new product An additional $756,000 in development expenditures were incurred after technological and commercial feasibility was established and after the future economic benefits were deemed probable The project was successfully completed and the new product was patented before the end of the 2013 fiscal year Sale of the product began in 2014 What amount of the above expenditures would Cromartie expense in its 2013 income statement? a $2,001,000 b $1,245,000 c $756,000 d $0 (Under IFRS, only the $1,245,000 in research expenditures is expensed The development costs are capitalized as an intangible asset.) 15 Impairment testing is conducted annually for both limited–life and indefinite-life intangible assets a True b False 16 Which of the following does not describe intangible assets? a They are classified as long-term assets b They lack physical existence c They are monetary assets d They provide long-term benefits 17 Rich Corporation purchased a limited-life intangible asset for €270,000 on May 1, 2017 It has a useful life of 10 years What total amount of amortization expense should have been recorded on the intangible asset by December 31, 2019? a €72,000 (2 năm tháng-270.000/10/12*32) b €81,000 c €54,000 d €0 18 If a new patent is acquired through modification of an existing patent, the remaining book value of the original patent may be amortized over the life of the new patent a True b False 19 Short Corporation purchased Hathaway Co for $52,000,000 The fair value of all Hathaway's identifiable tangible and intangible assets was $48,000,000 Short will amortize any goodwill over the maximum number of years allowed What is the annual amortization of goodwill for this acquisition? a $400,000 b $200,000 c $100,000 d $0.* (mua bị lỗ khơng có goodwill) 20 Depreciation, depletion, and amortization: a Are all handled the same in arriving at taxable income b All generally utilize the same methods of cost allocation c All of the above are correct d All refer to the process of allocating the cost of long-term assets used in the business over future periods.* Topic 3: Impairment (IAS 36) When an impairment loss occurs, the carrying amount of the asset should be reduced to its a Recoverable amount b Net present value c Value in use d Market value What is the treatment of an impairment loss under IAS 36? a Write it off against profit immediately b Record a liability in the SOFP for “Impairment losses” c Record it in Equity under “Revaluations” d Write it off against profit over a defined period agreed by management Which of the following is an external indication of impairment? c Treat the effect of the change as an extraordinary item d Inform shareholders prior to taking the decision Adjustment of the carrying amount of an asset or a liability or the consumption of an asset This defines: a Misstatements b A change in accounting estimates c Accounting policies d A change in accounting policies Correcting the recognition measurement and disclosure of amounts in financial statements as if a prior-period error had never occurred This is: a Retrospective application b Retrospective restatement c Change in accounting policies d Change in accounting estimate Specific principles bases conventions rules and practices applied in presenting financial statements This defines: a Accouting policies b Accouting errors c Accouting estimates d Prospective application XYZ Inc change its method of valuation of inventories from weighted-average method to first-in, first-out (FIFO) method XYZ Inc should account for this change as a A change in accounting policy and account for it prospectively b A change in accounting policy and account for it retrospectively c A change in estimate and account for it prospectively d Account for it as a correction of an error and account for it retrospectively When an independent valuation expert advises an entity that the salvage value of its plant and machinery had drastically changed and thus the change is material, the entity should a Change the annual depreciation for the current year and the future years b Retrospectively change the depreciation charge based on the revised salvage value c Ignore the effect of the change on annual depreciaiton, because changes in salvage values would normally affect the future only since these are expected to be recovered in future d Change the depreciation charge and treat it as a correction of an error 10 When it is difficult to distinguish between a change of estimate and a change in accouting policy, then an entity should a Since this change is a mixture of two types of changes, it is best if it is ignored in the year of the change; the entity should then wait for the following year to see how the change develops and then treat it accordingly b Treat the entire change as a change in estimate with appropriate disclosure c Treat the entire change as a change in accounting policy ... statement of financial position at December 31, 2 019 , what amount should be reported as intangible assets? a ? ?1, 149,000 b ? ?1, 050,000 c £660,000 d ? ?1, 113 ,000 The example of a current asset is: a... statement of financial position? a $13 6,000 b $34,000 c $ 210 ,000 d $74,000 (Khấu hao năm =17 0.000/20*4=34.000; GTGS =17 0.000-34.000 =13 6.000; ĐGLtăng= 210 .000 -13 6.000=74.000) Which one of the following... related to the acquisition: purchase price: 10 0; broker’s commission: 10 ; property transfer tax: 20 What is the cost of the property? a 11 0 b 13 0 c 12 0 d 10 0 ABC Ltd owns a property which has two