may 22

In February 2006, the single set of the MASB Standards issued by Malaysian Accounting Standard Board was separated into two reporting framework as a first step towards convergence with the IFRS Framework of the International Accounting Standard Board ( IASB). Identify thIs two reporting framework.

i. Malaysian Conceptual Framework

ii. IASB Conceptual Framework

iii. Financial Reporting Standards (FRS) Framework for Public Entities.

iv. Private Entity Reporting Standards (PERS) Framework for Private Entities

• i,ii and iii.

• ii, iii and iv.

• I, iii and iv.

• iii and iv.

Tiptop Grocer is an unlisted public company, mainly involved in selling consumer goods for customers in Seri Iskandar Perak. Identify from the following a regulatory authority

which does not regulate unlisted public company:

• Bursa Malaysia Berhad

• Inland Revenue Board

• Companies Commission of Malaysia

• Securities Commission of Malaysia

The Capital Markets and Services Act 2007 (CMSA) was enacted in Parliament in 2007. The act contains provisions applicable to listed corporations and duties of chief executives and directors of listed corporations EXCEPT:

• A copy of its audited annual accounts within 2 weeks from the date of its annual general meeting

• Its interim and periodic financial reports immediately after figures are available.

• To keep accounting records that will sufficiently explain the transactions and

  financial position of the listed company;

• The financial report shall be issued to the company’s shareholders within a

  period not exceeding 6 months from the close of the financial year of a company.

The adoption of the MFRS framework was a significant milestone in the advancement of reporting standards in Malaysia. Entities can now assert that their financial statements are in full compliance with the IFRS. Which of the following statements are true about MFRS Framework?

i. Private and public companies in Malaysia must comply with the MFRS framework.

ii. The Malaysian Financial Reporting Standards (MFRS) framework was developed

by the Malaysian Accounting Standards Board (MASB).

iii. The MFRS framework is in full convergence with IFRSs for public entities in 2012.

iv. To date, the MFRS framework is fully compliant with the International Financial

Reporting Standards (IFRS) framework, which enhances the credibility and transparency of financial reporting in Malaysia.

• I, ii and iii.

• ii, iii and iv.

• I, iii and iv.

• ii and iii.

The new Companies Act 2016 was approved in Parliament in April 2016 to replace the original Companies Act 1965. Every company incorporated under the Companies Act 2016 must comply with the Act's provisions concerning accounting and reporting as they are legally enforceable. For proper accounting record, Section 245 of the Act identifies that the accounts must be recorded and kept:

• - in such manner as to enable them to be conveniently and properly audited

• - within 60 days of the completion of transactions to which they relate

• - for seven years after the completion of the related transactions or operations

• - at the registered office, or at such other place as the directors think fit.

• i, ii and iii.

• ii, iii and iv.

• i, ii, iii and iv.

• I, iii and iv.

The following statements are the reporting requirements of a type of business entity in Malaysia:

i. To comply with the Approved Accounting Standards in the preparation and presentation of its financial statements.

ii. To submit its financial statements to the Directors General of Inland Revenue for the purpose of determining assessable income under the Income Tax Act

iii. No other external reporting or submissions are required, and the financial statements do not have to be audited

The above statement, best relates to:

• A non-incorporated entity

• Private company

• Unlisted public company

• Listed public company

Read the following statements carefully and select the best answer. i.

ii.

iv.

It was established under the Financial Reporting Act 1997.

Its functions shall be the determination and issuance of accounting standards

for the preparation of financial statements.

iii. It collaborates with other national and international accounting standard-setters and monitor the development of other national and international accounting standards.

Among its mission is to develop high quality accounting standards for financial

reporting that benefit users, preparers, auditors, and the public.

• Financial Reporting Foundation (FRF)

• Malaysian Accounting Standards Board (MASB)

• International Accounting Standards Board (IASB)

• International Accounting Standards Committee (IASC)

With the passing of the Financial Reporting Act 1997, the approved accounting standards of the MASB has the force of law and the monitoring of compliance with the MASB approved accounting standards is within the jurisdiction of the following statutory bodies EXCEPT:

• Companies Act (administered by the Commissioner of Companies).

• Securities Commission Act 1993 (administered by the Securities Commission)

• Banking and Financial Institutions Act 1989 (administered by Bank Negara Malaysia

• Income Tax Act 1967 (administered by Inland Revenue Board)

Bursa Malaysia Listing Requirements contain some provisions relating to financial accounting and reporting. The annual reporting and accounting requirements of public listed companies as laid out by Bursa Malaysia are as following EXCEPT:

• The printed annual report shall be issued to the company’s shareholders within a period not exceeding 6 months from the close of the financial year of a company.

• The annual audited accounts together with the auditor’s and directors’ reports shall be given to Exchange for public release, within a period not exceeding 3 months from the close of the financial year of the company.

• The annual audited accounts should be in the form of consolidated financial statements; and

• The annual audited accounts should be prepared in accordance with the accounting standards and pronouncements of the MASB and the requirements of the Companies Act.

Read the following statements carefully and select the best answer.

i. It started to jointly issue accounting standards in Malaysia in 1987

ii. It only regulates its members and has no statutory power to enforce

compliance to Approved Accounting Standards in Malaysia.

iii. It is committed to the observance and practice of the highest ethical standards

of the accountancy profession.

iv. In Malaysia, no one can hold himself out or practise as an Accountant unless

he is registered as a member of this body.

The above statements best describe the:

• Malaysian Institute of Certified Public Accountant (MiCPA)

• The Association of Chartered Certified Accountants (ACCA)

• Malaysian Institute of Accountants (MIA)

• Malaysian Accounting Association (MyAA)