Deck 1: Accounting Standards and Reporting in India

Question 1

The accounting standards Board (India) was formed by the Institute of Chartered Accountants of India in April---------------

A)1977
B)1978
C)2001
D)2009

Answer 1

1977

Question 2

Accounting Standards in India are Issued by the …………..

A)ICAI
B)BMCC
C)IT
D)IMA

Answer 2

ICAI

Question 3

Accounting Standards are beneficial not only to the business enterprises but also to the………….. as well.

A)accountants & auditor
B)Customers
C)Family and Country
D)Traders

Answer 3

accountants & auditor

Question 4

The important objective of Accounting standards is to the …………..diverse accounting policies and practices at present in use in India.

A)harmonies
B)incomplete
C)complex
D)compact

Question 5

AS-7 deals with accounting for construction contracts in financial statements of

A)contractors
B)Accountants
C)Agents
D)Dealers

Question 6

AS -26 deals with the treatment of costs of……………in financial statements.

A)Research & development
B)Construction contract
C)Assets
D)Risk & Rewards

Question 7

Investment made by government as equity in the ownership of an enterprise is known as ------------

A)participation
B)interested
C)refundable
D)not interested

Question 8

Govt. grants become -----------because of non fulfillment of the conditions attached to that grant.

A)Refundable
B)non refundable
C)overdraft
D)income

Question 9

AS 15 deals with the accounting for retirement benefits in the financial statements of --------------

A)employers
B)employees
C)top manager
D)none of these

Question 10

Revised AS 15 - Employees benefits is applicable in respect of accounting periods commencing on or after 1st April ----------

A)2006
B)1978
C)2001
D)2009

Question 11

AS …………….also focuses on profit sharing and bonus plan.

A)AS- 15
B)AS-21
C)AS- 28
D)AS- 7

Question 12

AS-17 segment reporting applies to those companies which have an annual turnover of Rs……….crores or more.

A)50
B)80
C)21
D)20

Question 13

…………….reporting helps uses of financial statements to better assess the risk and t returns of the enterprise.

A)segment
B)Account
C)statement
D)management

Question 14

As per AS-19 …………nlease risk and reward is not transferred to the lessee.

A)operating
B)non operating
C)manageable
D)refundable

Question 15

In financial lease as per As-19 leased assets is shown in the Balanced sheet of--

A)lessee
B)income
C)loss
D)refund

Question 16

AS -20 deals with presentation and Computation of---------------

A)earnings per share
B)profit sharing ratio
C)rate of interest
D)solvency

Question 17

Earning per share is very important financial ratio is computed for assessing the state of --------------price of shares.

A)Market
B)area
C)shops
D)none of these

Question 18

Right issue generally made at a price lower that…………….value of shares.

A)Fair
B)fixed
C)computing
D)fluctuating

Question 19

Impairment assets is nothing but………………….in the value of assets

A)decrease
B)increase
C)fixed
D)none of these

Question 20

Recoverable amount of an asset isof selling price and value of an assets in use.

A)higher
B)lower
C)a and d only
D)fixed

Question 21

AS 7 does not apply to Contractors

A)false
B)true
C)none of the above
D)may be false

Question 22

As per AS architects services are not included in construction contract.

A)false
B)true
C)may be true
D)both a and b

Question 23

As per AS 7 Research and Development cost is to be excluded from contract cost .

A)true
B)false
C)may be false
D)neither a nor b

Question 24

AS - 7 deals with accounting for Government grants.

A)false
B)true
C)may be true
D)neither true nor false

Question 25

As per AS 15 accumulated compensated absences can be carried forward if the current period entitlement is not used in full.

A)true
B)false
C)may be false
D)may be true