KTQT (1-> 55)

Chapter 1 (23 câu) Câu 1.1: Which of the following is the advantages of Limited Liability Company?

• A. No requirement to make financial accounts publicly available, no audit requirement.
• B. No company tax on the business.
• C. Operating as a limited liability company is less risky than operating as a sole trader.
• D. Operating as a limited liability company makes reducing share capital easier than sole trader and partnerships.

Câu 1.2: Which of the following statements best defines a statement of financial position?

• A. It is a summary of income and expenditure for an accounting period
• B. It is a summary of cash receipts and payments made during an accounting period
• C. It is a summary of assets, liabilities, and equity at a specified date.
• D. It is a summary of assets and expense at a specified date.

Câu 1.3: Which of the following statements are true? (1) Accounting can be described as the recording and summarising of transactions. (2) Financial accounting describes the production of a statement of financial position and statement of profit or loss for internal use.

• A. (1) only
• B. (2) only
• C. Both (1) and (2)
• D. None

Câu 1.4: What is the main purpose of financial accounting?

• A. To record all transactions in the books of account
• B. To provide management with detailed analyses of costs
• C. To enable preparation of financial statements that provides information about an entity’s financial performance and position.
• D. To calculate profit or loss for an accounting period

Câu 1.5: Which of the following statements about users of accounting information is INCORRECT?

• A. Management is an internal user
• B. Taxing authorities are external users.
• C. Present creditors are external users
• D. Regulatory authorities are internal users.

Câu 1.6: Which of the following statements is FALSE?

• A. A statement of cash flows summarizes information about the cash inflows (receipts) and outflows (payments) for a specific period of time
• B. A statement of financial position reports the assets, liabilities, and owner’s equity at a specific date.
• C. An income statement presents the revenues, expenses, changes in owner’s equity, and resulting net income or net loss for a specific period of time.
• D. An statement of changes in equity summarizes the changes in owner’s equity for a specific period of time.

Câu 1.7: Which accounting concept should be considered if the owner of a business takes goods from inventory for his own personal use?

• A. The fair presentation concept.
• B. The accruals concept.
• C. The going concern concept.
• D. The business entity concept

Câu 1.8: Sales revenue should be recognised when goods and services have been supplied; costs are incurred when goods and services have been received. Which accounting concept governs the above?

• A. The business entity concept
• B. The materiality concept
• C. The accruals concept.
• D. The duality concepts.

Câu 1.9: Which accounting concept states that omitting or misstating this information could influence users of the financial statements?

• A. The consistency concept
• B. The accruals concept
• C. The materiality concepts.
• D. The going concern concept.

Câu 1.10: Which ONE of the following statements describes faithful representation, a qualitative characteristic of faithful representation?

• A. Revenue earned must be matched against the expenditure incurred in earning it.
• B. Revenue earned must be matched against the expenditure incurred in earning it.
• C. The presentation and classification of items in the financial statements should stay the same from one period to the next.
• D. Financial information should be complete, neutral and free from error.