Question 1

The Framework describes the qualitative characteristic of relevance as:

Accepted Answer

A)  information that can be classified
B)  information that is of value to users in decision making
C)  information that can be reliably measured
D)  information that is understandable.

Question 2

When making informed investment decisions,investors:

Accepted Answer

A)  are only interested in the company's financial situation
B)  are only interested the company's market share
C)  are mainly interested in how long the company has been in existence
D)  are interested in the company's financial situation and other relevant business factors as well

Question 3

The external user of accounting information is the:

Accepted Answer

A)  Purchasing officer.
B)  Director of Research and Development.
C)  Inventory clerk.
D)  Customer. D

Question 4

One of ASIC's main roles is to ensure that companies comply with the _________________ Act 2001.

Accepted Answer

The answer of One of ASIC's main roles is to...

Question 5

The internal user of accounting information is the:

Accepted Answer

A)  Building maintenance manager.
B)  Supplier.
C)  Environmental lobby group.
D)  Auditor from the Australian Tax Office. A

Question 6

Select the option that does not represent a difference between financial and management reporting.

Accepted Answer

A)  The level of detail in the reports
B)  Whether the reports are quantitative only or are both quantitative and qualitative
C)  How up-to-date the report is
D)  Whether the reports are useful for decision-making

Question 7

The Corporations Act gets its powers from which section of the Australian Constitution?

Accepted Answer

A)  50
B)  51
C)  52
D)  53

Question 8

Firms of accountants who work for many different clients are known as:

Accepted Answer

A)  financial accountants
B)  private accountants
C)  public accountants
D)  company accountants

Question 9

A disclosing entity is an entity that

Accepted Answer

A)  discloses the basis on which their financial reports are prepared
B)  issues securities that are quoted on a stock market or made available to the public via a prospectus
C)  is exempt under the Corporations Act 2001 from applying the AASB accounting standards
D)  is involved in the accounting standard setting process

Question 10

The Financial Reporting Council is responsible for

Accepted Answer

A)  developing Australian accounting standards for both the public and private sectors in Australia
B)  issuing Australian accounting standards for both the public and private sectors in Australia.
C)  overseeing the accounting and auditing standard-setting process for both the public and private sectors in Australia
D)  reporting breeches of Australian accounting standards for both the public and private sectors in Australia.

Question 11

Accounting is the process of identifying,measuring,recording and _______________ economic information for the purposes of decision-making.

Accepted Answer

The answer of Accounting is the process of identifying,measuring,recording and...

Question 12

The content of management accounting reports is governed by:

Accepted Answer

A)  the Australian Securities Exchange.
B)  the Corporations Act 2001
C)  CPA Australia and the Institute of Chartered Accountants of Australia.
D)  there are no specific rules governing the content of management accounting reports

Question 13

Corporate ______________ principles include appropriate auditing,board independence,corporate responsibility,financial transparency and information disclosure.

Accepted Answer

The answer of Corporate ______________ principles include appropriate auditing,board independence,corporate...

Question 14

Which of the following is not a business transaction?

Accepted Answer

A)  incurring interest on a business loan
B)  purchasing office supplies
C)  receiving fees for services
D)  hiring a new employee D

Question 15

Which of these would not be considered an internal user of accounting information?

Accepted Answer

A)  The chairman of ASIC
B)  The human resources manager
C)  The Chief Financial Officer
D)  The Production supervisor

Question 16

The ACCC is responsible for administering the

Accepted Answer

A)  the Corporations Act 2001
B)  the Trade Practices Act 1974
C)  the Australian Securities and Investments Commission Act 2001
D)  the ASX Market and Listing rules

Question 17

Decreases in economic benefits in the form of outflows or depletions of assets or incurrences of liabilities that result in a decrease in equity,other than those relating to distributions to equity participants,is the definition of:

Accepted Answer

A)  liabilities.
B)  income.
C)  expenses.
D)  equity.

Question 18

More than 120 countries worldwide prepare their financial statements following global accounting standards known as _______________________

Accepted Answer

International Financ...

Question 19

The two constraints imposed on the preparation of financial information are ____________________ and costs versus benefits.

Accepted Answer

The answer of The two constraints imposed on the preparation...

Question 20

Special-purpose financial reports provide information for which group(s) ?
  Internal Users  External Users  I  Yes  Yes  II  Yes  No  III  No  Yes  IV  No  No \begin{array}{|l|l|l}\hline & 	ext { Internal Users } & 	ext { External Users } \\hline	ext { I }  & 	ext { Yes } & 	ext { Yes } \\hline 	ext { II } & 	ext { Yes } & 	ext { No } \\hline 	ext { III } & 	ext { No } & 	ext { Yes } \\hline 	ext { IV } & 	ext { No } & 	ext { No } \\hline\end{array} I  II  III  IV ​ Internal Users  Yes  Yes  No  No ​ External Users  Yes  No  Yes  No ​​

Accepted Answer

A)  I
B)  II
C)  III
D)  IV

Exam 1: Introduction to Accounting

The Framework describes the qualitative characteristic of relevance as:

Correct Answer
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When making informed investment decisions,investors:

Correct Answer
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The external user of accounting information is the:

Correct Answer
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D

One of ASIC's main roles is to ensure that companies comply with the _________________ Act 2001.

Correct Answer
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The internal user of accounting information is the:

Correct Answer
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A

Select the option that does not represent a difference between financial and management reporting.

Correct Answer
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The Corporations Act gets its powers from which section of the Australian Constitution?

Correct Answer
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Firms of accountants who work for many different clients are known as:

Correct Answer
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A disclosing entity is an entity that

Correct Answer
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The Financial Reporting Council is responsible for

Correct Answer
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Accounting is the process of identifying,measuring,recording and _______________ economic information for the purposes of decision-making.

Correct Answer
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The content of management accounting reports is governed by:

Correct Answer
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Corporate ______________ principles include appropriate auditing,board independence,corporate responsibility,financial transparency and information disclosure.

Correct Answer
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Which of the following is not a business transaction?

Correct Answer
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D

Which of these would not be considered an internal user of accounting information?

Correct Answer
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The ACCC is responsible for administering the

Correct Answer
verified

Decreases in economic benefits in the form of outflows or depletions of assets or incurrences of liabilities that result in a decrease in equity,other than those relating to distributions to equity participants,is the definition of:

Correct Answer
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More than 120 countries worldwide prepare their financial statements following global accounting standards known as _______________________

Correct Answer
verified
International Financ...
View Answer

The two constraints imposed on the preparation of financial information are ____________________ and costs versus benefits.

Correct Answer
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Correct Answer
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Exam 1: Introduction to Accounting

The Framework describes the qualitative characteristic of relevance as:

Correct AnswerverifiedShow Answer

When making informed investment decisions,investors:

Correct AnswerverifiedShow Answer

The external user of accounting information is the:

Correct AnswerverifiedD

One of ASIC's main roles is to ensure that companies comply with the _________________ Act 2001.

Correct AnswerverifiedShow Answer

The internal user of accounting information is the:

Correct AnswerverifiedA

Select the option that does not represent a difference between financial and management reporting.

Correct AnswerverifiedShow Answer

The Corporations Act gets its powers from which section of the Australian Constitution?

Correct AnswerverifiedShow Answer

Firms of accountants who work for many different clients are known as:

Correct AnswerverifiedShow Answer

A disclosing entity is an entity that

Correct AnswerverifiedShow Answer

The Financial Reporting Council is responsible for

Correct AnswerverifiedShow Answer

Accounting is the process of identifying,measuring,recording and _______________ economic information for the purposes of decision-making.

Correct AnswerverifiedShow Answer

The content of management accounting reports is governed by:

Correct AnswerverifiedShow Answer

Corporate ______________ principles include appropriate auditing,board independence,corporate responsibility,financial transparency and information disclosure.

Correct AnswerverifiedShow Answer

Which of the following is not a business transaction?

Correct AnswerverifiedD

Which of these would not be considered an internal user of accounting information?

Correct AnswerverifiedShow Answer

The ACCC is responsible for administering the

Correct AnswerverifiedShow Answer

Decreases in economic benefits in the form of outflows or depletions of assets or incurrences of liabilities that result in a decrease in equity,other than those relating to distributions to equity participants,is the definition of:

Correct AnswerverifiedShow Answer

More than 120 countries worldwide prepare their financial statements following global accounting standards known as _______________________

Correct AnswerverifiedInternational Financ...View AnswerShow Answer

The two constraints imposed on the preparation of financial information are ____________________ and costs versus benefits.

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

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D

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A

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D

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International Financ...
View Answer

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Correct Answer
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