Pass the CPA Australia Certification Financial-Accounting-and-Reporting Questions and answers with ExamsMirror

statement of cash flows

statement of changes in equity

notes to the financial statements

statement of profit or loss and other comprehensive income

profit smoothing

window dressing

trading in derivatives

aggressive earnings management

The cost of replacing an asset with an identical item.

The price for which an asset could be sold net of disposal costs.

The amount yet to be written off over the remainder of the asset's useful life.

The price for which an asset could be sold in an orderly transaction between market participants at the measurement date.

Australian accounting standards are based on the US GAAP.

Accounting standards prescribe the possible accounting treatments.

Accounting standards are developed and maintained using a consultative process with the OECD.

Accounting standards provide the basic knowledge upon which the conceptual framework is developed.

the auditor's report is influenced by the directors.

the declaration of dividends assures high earnings per share.

the auditor's report refers to the company's prior year financials.

a declaration of dividend is the ultimate measure of a company's profitability.

It enables raw data to be just easily verifiable but not auditable.

It provides a stable monetary unit that values profit and capital.

It provides a clear use of indices which approximates the measurement of value.

It supposes that value of net assets clearly reflects general goods and services are bought once assets were released.

Regulatory Framework.

Conceptual Framework.

Generally Accepted Accounting Principles.

International Financial Reporting Standards.

It provides quality of information in and across financial statements.

It provides flexibility in the way accounting information is presented to users.

It provides the required accounting information to all necessary shareholders.

It instils public confidence in the accounting system employed in commerce and industry.

past records are used to predict the future prices of goods.

the costs of financial transactions are kept as low as possible.

the cost of transactions is a reflection of the actual cost incurred.

the price of stocks and shares are available accurately and quickly.

relevant and reliable financial information.

comparable and accurate financial information to all shareholders.

relevant and correct financial information to all interested shareholders.

understandable and clear financial information to all interested shareholders.