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Accounting Standards

Total questions: 10

Worksheet time: 5mins

Name
Class
Date
1.

In computing earnings per share, which number of outstanding ordinary shares should an entity use as the denominator?

a)

simple average

b)

weighted average

2.

It is the amount by which the carrying amount of an asset or a cash-generating unit exceeds its recoverable amount.

a)

Impairment

b)

Revaluation

3.

It is the present value of future cash flows expected to be derived from an asset or cash- generating unit.

a)

Value-in-use

b)

Recoverable amount

4.

It is a liability of uncertain timing or amount.

a)

Provision

b)

Contingent liability

5.

It is a possible obligation that arises from past events, and whose existence will be confirmed only by the occurrence and non-occurrence of one or more uncertain future events, not wholly within the control of the entity.

a)

Provision

b)

Contingent liability

6.

It is a financial instrument or other contracts that may entitle its holder to ordinary shares.

a)

Potential ordinary share

b)

Ordinary share

7.

It is a financial reporting period shorter than a full financial year

a)

Fiscal period

b)

Interim period

8.

It is an equity instrument that is subordinate to all other classes of equity instrument

a)

Preference share

b)

Ordinary share

9.

It is the smallest identifiable group of assets that generates cash inflows that are largely independent of the cash inflows from other assets or group of assets.

a)

Cash-generating unit

b)

Qualifying asset

10.

These are assets other than goodwill that contribute to the future cash flows of both the cash generating unit under review and other cash-generating units

a)

Corporate assets

b)

Qualifying assets