We are dedicated to your accomplishment, hence pledges you victory in FAR Book exam in a single attempt. If for any reason, a user fails in FAR Book exam then he will be refunded the money after the process. Also, we offer 1 year free updates to our FAR Book exam esteemed users; and these updates will be entitled to your account right from the date of purchase. If you failed to pass the exam after you purchase FAR Book exam material, whatever the reason, you just need to submit your transcript to us and we will give you a full refund. We dare to make assurances because we have absolute confidence in the quality of CPA Financial Accounting and Reporting study questions. It is better than FAR Book dumps questions.
AICPA Certification FAR And you will have the demos to check them out.
To become more powerful and struggle for a new self, getting a professional FAR - CPA Financial Accounting and Reporting Book certification is the first step beyond all questions. So we are deeply moved by their persistence and trust. Your support and praises of our Official FAR Practice Test study guide are our great motivation to move forward.
How to get the test FAR Book certification in a short time, which determines enough qualification certificates to test our learning ability and application level. This may be a contradiction of the problem, we hope to be able to spend less time and energy to take into account the test FAR Book certification, but the qualification examination of the learning process is very wasted energy, so how to achieve the balance? Our FAR Book exam prep can be done with its high-efficient merit. Try it now!
AICPA FAR Book - It can help you to pass the exam successfully.
With FAR Book study engine, you will get rid of the dilemma that you work hard but cannot improve. With our FAR Book learning materials, you can spend less time but learn more knowledge than others. FAR Book exam questions will help you reach the peak of your career. Just think of that after you get the FAR Book certification, you will have a lot of opportunities of going to biger and better company and getting higher incomes! what a brighter future!
Only Omgzlook can guarantee you 100% success. Omgzlook allows you to have a bright future.
FAR PDF DEMO:
QUESTION NO: 1
Conceptually, interim financial statements can be described as emphasizing:
A. Timeliness over reliability.
B. Reliability over relevance.
C. Relevance over comparability.
D. Comparability over neutrality.
Answer: A
Explanation:
Choice "a" is correct. Interim financial statements emphasize timeliness (an element of relevance) by providing financial information based on actual performance to date and estimates prior to year end.
Information must be available when it is needed to be useful. Reliability is impeded by the extensive use
of estimates; however, the lag until verifiability is obtained detracts from usefulness. SFAC 2 para. 56
Choice "b" is incorrect. Relevance (particularly timeliness) of information in interim financial statements is
emphasized more than reliability. Reliability is impeded by the extensive use of estimates in interim data.
Choice "c" is incorrect. Since comparability is a secondary quality of information, there should be no need
to trade off comparability for relevance (a primary quality). Choice "d" is incorrect. Neutrality is an element
of reliability (a primary quality of information. There should be NO need for a trade-off for comparability
over neutrality.
QUESTION NO: 2
According to the FASB conceptual framework, the process of reporting an item in the financial statements
of an entity is:
A. Allocation.
B. Matching.
C. Realization.
D. Recognition.
Answer: D
Explanation:
Choice "d" is correct. Recognition is the process of recording an item in the financial statements of an entity. SFAC 5 para. 6 Choice "a" is incorrect. Allocation is the accounting process of assigning or distributing an amount according to a plan or a formulA. SFAC 6 para. 142 Choice "b" is incorrect.
Matching of costs and revenues is simultaneous or combined recognition of the revenues and expenses
that result directly and jointly from the same transactions or other events. SFAC 6 para. 146 Choice
"c" is
incorrect. Realization is the process of converting noncash resources and rights into money. SFAC 6 para.
1 43
QUESTION NO: 3
During 1990, Fuqua Steel Co. had the following unusual financial events occur:
. Bonds payable were retired five years before their scheduled maturity, resulting in a $260,000 gain.
Fuqua has frequently retired bonds early when interest rates declined significantly.
. A steel forming segment suffered $255,000 in losses due to hurricane damage. This was the fourth similar loss sustained in a 5-year period at that location.
. A component of Fuqua's operations, steel transportation, was sold at a net loss of $350,000.
This was Fuqua's first divestiture of one of its operating segments.
Before income taxes, what amount should be disclosed as the gain (loss) from extraordinary items in
1 990?
A. $0
B. $5,000
C. $(90,000)
D. $(350,000)
Answer: A
Explanation:
Choice "a" is correct. $0. Note: The sale of the steel transportation component resulted in a loss from discontinued operations and is reported after "income from continuing operations." The steel forming
segment's hurricane damage (4th in 5 years) of $255,000 is only "unusual in nature" and does not occur
infrequently, therefore, it is not an "extraordinary item," and should be reported separately as a component of "income from continuing operations." The retirement of debt, although unusual, is not infrequent for the company; therefore, the gain does not qualify for classification as an extraordinary item
per APBO No. 30 (and SFAS No. 145).
QUESTION NO: 4
In general, an enterprise preparing interim financial statements should:
A. Defer recognition of seasonal revenue.
B. Disregard permanent decreases in the market value of its inventory.
C. Allocate revenues and expenses evenly over the quarters, regardless of when they actually occurred.
D. Use the same accounting principles followed in preparing its latest annual financial statements.
Answer: D
Explanation:
Choice "d" is correct. Generally accepted accounting principles that were used in the most recent annual
report of an enterprise should be applied to interim financial statements of the current year, unless a change in accounting principle is adopted in the current year.
Choices "a", "b", and "c" are incorrect, per above.
QUESTION NO: 5
On January 2, 1993, Quo, Inc. hired Reed to be its controller. During the year, Reed, working closely with
Quo's president and outside accountants, made changes in accounting policies, corrected several errors
dating from 1992 and before, and instituted new accounting policies.
Quo's 1993 financial statements will be presented in comparative form with its 1992 financial statements.
This question represents one of Quo's transactions. List A represents possible clarifications of these transactions as: a change in accounting principle, a change in accounting estimate, a correction of an error in previously presented financial statements, or neither an accounting change nor an accounting error.
Item to Be Answered
Quo manufactures heavy equipment to customer specifications on a contract basis. On the basis that it is
preferable, accounting for these long-term contracts was switched from the completed-contract method to
the percentage-of-completion method.
List A (Select one)
A. Change in accounting principal.
B. Change in accounting estimate.
C. Correction of an error in previously presented financial statements.
D. Neither an accounting change nor an accounting error.
Answer: A
Explanation:
Choice "a" is correct. Switching from the completed-contract method of accounting to the percentage-of
completion method is a "change in accounting principle."
In order to facilitate the user's offline reading, the SAP C_C4H620_34 study braindumps can better use the time of debris to learn, especially to develop PDF mode for users. Microsoft DP-203 - No matter how high your pursuit of the goal, Omgzlook will make your dreams become a reality. We can proudly claim that you can successfully pass the exam just on the condition that you study with our Linux Foundation FOCP preparation materials for 20 to 30 hours. AACN CCRN-Adult - If you have a IT dream， then quickly click the click of Omgzlook. Microsoft MS-900 - If you do not own one or two kinds of skills, it is difficult for you to make ends meet in the modern society.
Updated: May 26, 2022