IAS part A and B quiz

Which of the following is not among the ingredients of the fundamental quality of faithful

representation?

• Freedom from error

• Materiality

• Neutrality

• Completeness

The residual interest in the assets of the entity after deducting all its liabilities are called

• Expenses

• Equity

• Assets

• A revenue

Jack pays $180 for insurance coverage on his motorcycle for a three-month policy starting June 1. If Jason makes this payment on June 1, what is the amount of deferred revenue the insurance company will have remaining at the end of July?

• $0

• $120

• $60

• $190

Which of the following is not included in a complete set of financial statements according to IAS 1 Presentation of Financial Statements?

• Details of accounting policies adopted

• Directors report

• Statement of comprehensive income

• Statement of financial position.

According to the illustrative financial structure in IAS 1 (revised) Presentation of financial statements, dividends paid during the year should be disclosed in

• None of these

• Statement of equity

• Statement of comprehensive income (Statement of profit or loss)

• Statement of financial position

Which of the following includes requirements for all entities applying IFRS for the presentation and disclosure of information in financial statements.

• IFRS 18

• Both IAS 1 and IFRS 18

• Neither IAS 1 or IFRS 18

• IAS 1

Which of the following would not be an example of a user who may rely on general purpose financial reports?

• Duc who is given $5 000 on his 18th birthday by his grandfather to invest in the share market

• Van who owns a fishing and camping store is keen to expand his product range by approaching his suppliers to ask about increasing his credit limit

• Sam who manufactures sugar free muesli bars hopes to secure long term sales contracts with school canteens all over the county

• Ming who runs a successful organic food café is keen to expand into the food truck industry by obtaining finance via crowd-funding

Generally incomplete records are maintained by

• Society

• Traders

• Government

• Companies

R and S are partners with the capital of $25,000 and $15,000, respectively. Interest payable on capital is 10% p.a. Find the interest on capital for both the partners when the profits earned by the firm is $2,400.

• No interest will be paid to partners.

• None of the above

• $1,500 and $900.

• $2,500 and $1,500.

Which of the following items are required to be disclosed in a limited liability company’s financial statements according to IAS 1 Presentation of Financial Statements?

1. Authorised share capital

2. Finance costs

3. Depreciation and amortization

4. Issued share capital

• None of the listed items

• 1, 2 and 3 only

• 2, 3 and 4 only

• All four items