CPA Australia CPA Financial Accounting and Reporting : Financial-Accounting-and-Reporting

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CPA Australia Financial-Accounting-and-Reporting Exam Syllabus Topics:

CPA Australia CPA Financial Accounting and Reporting Sample Questions:

1. Which one of the following contributes to an efficient capital market?

A) stock markets ensuring that companies do not overcharge for their products
B) information about the stock market can be obtained cheaply
C) having stock markets in every country
D) stock markets being managed by directors of companies that are listed on the stock market

2. A decision has been made to change the value of a major non-current asset, upon which depreciation is based, from original cost to a revalued amount. This results in a change in

A) accounting estimate and must be disclosed.
B) accounting estimate and does not need to be disclosed.
C) measurement basis and must be disclosed.
D) measurement basis and does not need to be disclosed.

3. Which one of the following is not an advantage of accounting regulation?

A) It provides flexibility in the way accounting information is presented to users.
B) It provides quality of information in and across financial statements.
C) It provides the required accounting information to all necessary shareholders.
D) It instils public confidence in the accounting system employed in commerce and industry.

4. Restrictions on the scope of a specific accounting standard are stated in

A) the IASB's Conceptual Framework.
B) the explanatory materials provided by the AASB.
C) that specific standard.
D) various Statements of Accounting Concepts (SACs) issued by the AASB.

5. XYZ Ltd is listed on the Australian Securities Exchange (ASX). Which one of the following reports is the company required to prepare as a part of its annual financial report?

A) corporate governance statement
B) sustainability report
C) management commentary
D) chairman's statement

Solutions: