UGRD-ACTG6143A Conceptual Framework

and Accounting Standards

1. Home
2. My courses
3. UGRD-ACTG6143A-2213T
4. PRELIM EXAM
5. Prelim Exam

Started on Saturday, 15 October 2022, 11:49 AM

State Finished
Completed on Saturday, 15 October 2022, 12:09 PM
Time taken 20 mins 7 secs
Grade 46.00 out of 50.00 (92%)
Question 1
Complete
Mark 0.00 out of 1.00

Flag question

Question text
The art of recording, classifying, and summarizing in a significant manner and in terms of
money, transactions, and events which are, in part at least of financial character, and
interpreting the results thereof.  

ACCOUNTINGW
Answer: 

Question 2
Complete
Mark 0.00 out of 1.00

Flag question

Question text
Is the source of financing for the assets of the enterprise. It indicates what amount of assets
has been financed by creditors, which is borrowed capital, and what amount of assets has
been financed by owners, which is invested capital.

Answer: 

Question 3
Complete
Mark 1.00 out of 1.00
 Flag question

Question text
An entity shall derecognize a financial asset only when the contractual rights to the cash
flows expire or it transfers the financial asset and that transfer qualifies for derecognition. 

Select one:
True
False

Question 4
Complete
Mark 1.00 out of 1.00

Flag question

Question text
Disclosure of accounting policies or of the changes is the remedy for any wrong or
inappropriate treatment of items in the accounts.

Select one:
True
False

Question 5
Complete
Mark 1.00 out of 1.00

Flag question

Question text
IFRS stands for?

INTERNATIONAL FINANCIAL REPORTING STANDARD

Answer: 

Question 6
Complete
Mark 2.00 out of 2.00
 Flag question

Question text
Imposes on one entity a contractual obligation either: (Choose two)

Select one or more:

a.
To exchange other financial instruments on potentially unfavorable terms with the second
entity.

b.
To receive cash or another financial instrument from the first entity

c.
To exchange other financial instruments on potentially favorable terms with the first entity.

d.
To deliver cash or another financial instrument to a second entity
Feedback
Your answer is correct.

Question 7
Complete
Mark 1.00 out of 1.00

Flag question

Question text
Are defined in the conceptual framework as “present obligations of an entity arising from
the past transaction or events, the settlement of which is expected to result in an outflow
from the entity of resources embodying economic benefits.

Select one:

a.
Assets

b.
Equity

c.
Liabilities
d.
Income
Feedback
Your answer is correct.

Question 8
Complete
Mark 1.00 out of 1.00

Flag question

Question text
Resources controlled by entity as a result of past transactions and events and from which
future economic benefits are expected to flow to the entity

Select one:

a.
Asset

b.
Income

c.
Equity

d.
Liabilities
Feedback
Your answer is correct.

Question 9
Complete
Mark 1.00 out of 1.00

Flag question

Question text
Work for the organization as internal employees to examine records and help improve
internal processes such as operations, internal controls, risk management, and governance.
Select one:

a.
Accountant

b.
External Auditor

c.
Internal Auditor

d.
Bookkeeper

Feedback
Your answer is correct.

Question 10
Complete
Mark 1.00 out of 1.00

Flag question

Question text
Are a structured representation of the financial position and financial performance of an
entity.

Select one:

a.
Balance Sheet

b.
Financial Statements

c.
Financial Information

d.
Financial Position
Feedback
Your answer is correct.

Question 11
Complete
Mark 1.00 out of 1.00

Flag question

Question text
Showing all components of net income or loss and all components of other comprehensive
income.

Select one:

a.
Single statement of comprehensive income

b.
Financial Report

c.
Income Statement

d.
Financial Statement

Feedback
Your answer is correct.

Question 12
Complete
Mark 1.00 out of 1.00

Flag question

Question text
Financial statements should disclose all “material” items, i.e. items, the knowledge of which
might influence the decisions of the user of the financial statements.

Select one:

a.
Substance over Form

b.
Prudence

c.
Materiality

Feedback
Your answer is correct.

Question 13
Complete
Mark 1.00 out of 1.00

Flag question

Question text
Accounting policies refer to accounting principles and the methods of applying these
principles adopted by the organization in the preparation of their financial statements.

Select one:
True
False

Question 14
Complete
Mark 1.00 out of 1.00

Flag question

Question text
As the title suggests, the presentation follows that if an account, meaning, the assets are
shown on the left side and the liabilities and equity on the right side of the statement of
financial position.

ACCOUNT FORM
Answer: 

Question 15
Complete
Mark 1.00 out of 1.00
 Flag question

Question text
Is the price that would be received to sell an asset or paid to transfer a liability in an orderly
transaction between market participants at the measurement date.

Fair Value
Answer: 

Question 16
Complete
Mark 1.00 out of 1.00

Flag question

Question text
This form classifies expenses according to their function as part of sales, selling activities,
administrative activities and other activities.

FUNCTIONAL PRESENTATION
Answer: 

Question 17
Complete
Mark 1.00 out of 1.00

Flag question

Question text
Involve maintaining financial records and preparing and auditing financial statements for
use by outside investors and banks.

Select one:

a.
Consulting Services

b.
Accounting and auditing services

c.
Tax Services
Feedback
Your answer is correct.

Question 18
Complete
Mark 1.00 out of 1.00

Flag question

Question text
Refers to an asset that is not traded on the financial markets, and its value is derived from
its physical characteristics rather than from contractual claims.

Select one:

a.
Equity

b.
Non-financial Assets

c.
Financial Liabilities

d.
Financial Assets

Feedback
Your answer is correct.

Question 19
Complete
Mark 0.00 out of 1.00

Flag question

Question text
The ability of the enterprise to use its available cash for unexpected requirements and
investment opportunities.
 CASH FLOW
Answer: 

Question 20
Complete
Mark 1.00 out of 1.00

Flag question

Question text
Is the body authorized by law to promulgate rules and regulation affecting the practice of
the accountancy profession in the Philippines.

BOARD OF ACCOUNTANCY
Answer: 

Question 21
Complete
Mark 1.00 out of 1.00

Flag question

Question text
The accounting treatment and presentation of transactions and events in financial
statements should be governed by their substance and not merely by the legal form.

Select one:

a.
Prudence

b.
Materiality

c.
Substance over Form

Feedback
Your answer is correct.

Question 22
Complete
Mark 1.00 out of 1.00

Flag question

Question text
Simply put, is cash, an equity instrument of another entity, or a contract to receive cash at a
future date.

Select one:

a.
Financial Assets

b.
Financial Liabilities

c.
Non-financial Assets

d.
Equity

Feedback
Your answer is correct.

Question 23
Complete
Mark 1.00 out of 1.00

Flag question

Question text
Sets out the concepts that underlie the preparation and presentation of financial statements
for external users.

CONCEPTUAL FRAMEWORK
Answer: 

Question 24
Complete
Mark 1.00 out of 1.00

Flag question

Question text
Are business individuals or organizations that normally sell merchandise or raw materials to
other businesses on credit.

Select one:

a.
Lenders

b.
General Public

c.
Suppliers

d.
Stakeholder

Feedback
Your answer is correct.

Question 25
Complete
Mark 1.00 out of 1.00

Flag question

Question text
Are individuals or financial institutions that normally lend money to businesses and earn
interest income on it.

Select one:

a.
Stakeholder

b.
General Public

c.
Lenders

d.
Supplier
Feedback
Your answer is correct.

Question 26
Complete
Mark 1.00 out of 1.00

Flag question

Question text
This presentation referred to as the nature of expense method.

NATURAL PRESENTATION
Answer: 

Question 27
Complete
Mark 1.00 out of 1.00

Flag question

Question text
Arising from derecognition, reclassification, impairment or in the case of a financial asset,
the moralization process, will be recognized in profit or loss.

Select one:

a.
Recognition

b.
Expenses
c.
Income

d.
Gains and losses

Feedback
Your answer is correct.

Question 28
Complete
Mark 1.00 out of 1.00

Flag question

Question text
Is a written pledge that the customer will pay the business a fixed amount of money on a
certain date.

NOTE RECEIVABLE
Answer: 

Question 29
Complete
Mark 1.00 out of 1.00

Flag question

Question text
Any contract that evidences a residual interest in the assets of an entity after deducting all
of its liabilities.

EQUITY INSTRUMENT
Answer: 

Question 30
Complete
Mark 1.00 out of 1.00

Flag question

Question text
Other term for Statement of Financial Position
 Balance Sheet
Answer: 

Question 31
Complete
Mark 1.00 out of 1.00

Flag question

Question text
Defines a financial instrument as cash, evidence of an ownership interest in a company or
other entity, or a contract.

Select one:

a.
Conceptual Framework

b.
Generally Accepted Accounting Principles

c.
Board of Accountancy

d.
Account Standard

Feedback
Your answer is correct.

Question 32
Complete
Mark 1.00 out of 1.00

Flag question

Question text
Use financial information of businesses for the purpose of imposing taxes and regulations.
Select one:

a.
General Public

b.
Government Agencies

c.
Supplier

d.
Lenders

e.
Stakeholder

Feedback
Your answer is correct.

Question 33
Complete
Mark 1.00 out of 1.00

Flag question

Question text
In view of the uncertainty of future events, profits are not anticipated but recognized only
when earned, though not necessarily in cash.

Select one:

a.
Materiality
b.
Substance over Form

c.
Prudence

Feedback
Your answer is correct.

Question 34
Complete
Mark 2.00 out of 2.00

Flag question

Question text
Conveys to that second entity a contractual right either:

Select one or more:

a.
To exchange other financial instruments on potentially favorable terms with the first entity.

b.
To deliver cash or another financial instrument to a second entity

c.
To exchange other financial instruments on potentially unfavorable terms with the second
entity.

d.
To receive cash or another financial instrument from the first entity

Feedback
Your answer is correct.

Question 35
Complete
Mark 1.00 out of 1.00
 Flag question

Question text
PAS stands for?

PHILIPPINE ACCOUNTING STANDARD

Answer: 

Question 36
Complete
Mark 1.00 out of 1.00

Flag question

Question text
This form sets forth the three major sections in a downward sequence of assets, liabilities
and equity.

Report Form
Answer: 

Question 37
Complete
Mark 1.00 out of 1.00

Flag question

Question text
Are usually trained accountants who specialize in checking accounts rather preparing them.

AUDITOR
Answer: 

Question 38
Complete
Mark 1.00 out of 1.00

Flag question

Question text
A financial asset shall be recognized in accounting when, and only when, an entity receives
or in accordance with the ongoing contract obtains a right to receive cash or another
financial asset.
Select one:
True
False

Question 39
Complete
Mark 1.00 out of 1.00

Flag question

Question text
Are the specific principles, bases, conventions, rules and practices adopted by an enterprise
in preparing and presenting financial statements.

Select one:

a.
Accounting Policies

b.
Accounting Rules

c.
Conceptual Framework

d.
Accounting Standard

Feedback
Your answer is correct.

Question 40
Complete
Mark 1.00 out of 1.00

Flag question

Question text
Refers to the availability of cash in the near future after taking account of financial
commitments over this period.

LIQUIDITY
Answer: 

Question 41
Complete
Mark 1.00 out of 1.00

Flag question

Question text
Is the amount for which an asset could be exchanged, or a liability settled, between
knowledgeable, willing parties in an arm’s length transaction.

FAIR VALUE
Answer: 

Question 42
Complete
Mark 1.00 out of 1.00

Flag question

Question text
Is any medium of exchange that a bank will accept fore deposit at face value. It includes
coins, currency, checks, money orders, bank deposit and drafts.

CASH
Answer: 

Question 43
Complete
Mark 1.00 out of 1.00

Flag question

Question text
Involve financial planning services for individuals as well as business consultation services to
help management design, develop and implement accounting systems and employee
compensation packages.

Select one:
a.
Tax Services 

b.
Accounting and auditing services

c.
Consulting services

Feedback
Your answer is correct.

Question 44
Complete
Mark 1.00 out of 1.00

Flag question

Question text
Refers to the availability of cash over the longer term to meet financial commitments as
they fall due.

SOLVENCY
Answer: 

Question 45
Complete
Mark 1.00 out of 1.00

Flag question

Question text
This account is used to record the original and additional investments of the owner of the
business entity.

CAPITAL
Answer: 

Question 46
Complete
Mark 1.00 out of 1.00
 Flag question

Question text
Financial liabilities shall recognized in accounting when, and only when, an entity assumes
an obligation to deliver cash or another financial asset.

Select one:
True
False

Question 47
Complete
Mark 1.00 out of 1.00

Flag question

Question text
GAAP stands for?

GENERALLY ACCEPTED ACCOUNTING PRINCIPLE

Answer: 

Question 48
Complete
Mark 0.00 out of 1.00

Flag question

Question text
The statement of Financial Position is an expansion of the accounting equation:

Select one:

a.
Liability equals Asset plus Equity

b.
Asset equals Liability plus Equity
c.
Asset equals Liability minus Equity

Feedback
Your answer is incorrect.