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CPA Australia Financial-Accounting-and-Reporting Exam Syllabus Topics:

CPA Australia CPA Financial Accounting and Reporting Sample Questions:

1. Which one of the following best describes the objective of the International Financial Reporting Standards (IFRS) Foundation?

A) to guide investors who compare the financial statements of one entity in one country with those of another entity located elsewhere
B) to co-ordinate the accounting profession on a global scale by issuing and establishing international standards
C) to promote the application, convergence and use of International Financial Reporting Standards (IFRS) as a high quality reporting solution
D) to develop an International regulatory framework in the national jurisdictions of countries that produce accountants

2. Which one of the following includes social reporting guidelines?

A) Generally Accepted Accounting Principles (GAAP)
B) International Accounting Standards (IAS)
C) International Financial Reporting Standards (IFRS)
D) Global Reporting Initiative (GRI)

3. Which one of these is a disadvantage of a conceptual framework?

A) It increases the chances of political interference in the development of accounting standards.
B) It mandates the formats of various financial statements.
C) It replaces the established principles.
D) A single framework is not suitable for all users of financial statements.

4. The two fundamental qualitative characteristics of the financial information are

A) relevance and faithful representation.
B) verifiability and relevance.
C) faithful representation and comparability.
D) relevance and comparability.

5. Which one of the following describes the key advantage of the manual system of accounting?

A) The quality of output is not necessarily an issue.
B) A thorough understanding of the business can be gained through it.
C) Processing is maintained at a reasonable speed even while dealing with large volumes of data.
D) Corrections are easily managed as updating or recreating the whole document is not difficult.

Solutions: