In the meantime, all your legal rights will be guaranteed after buying our FAR File study materials. For many years, we have always put our customers in top priority. Not only we offer the best FAR File training prep, but also our sincere and considerate attitude is praised by numerous of our customers. So we never stop the pace of offering the best services and FAR File practice materials for you. Tens of thousands of candidates have fostered learning abilities by using our FAR File Learning materials you can be one of them definitely. Even the FAR File test syllabus is changing every year; our experts still have the ability to master the tendency of the important knowledge as they have been doing research in this career for years.
AICPA Certification FAR Life needs to be colorful and meaningful.
You do not need to spend money; because our FAR - CPA Financial Accounting and Reporting File test questions provide you with the demo for free. As is known to us, it must be of great importance for you to keep pace with the times. If you have difficulty in gaining the latest information when you are preparing for the New FAR Test Guide, it will be not easy for you to pass the exam and get the related certification in a short time.
The most notable feature of our FAR File learning quiz is that they provide you with the most practical solutions to help you learn the exam points of effortlessly and easily, then mastering the core information of the certification course outline. Their quality of our FAR File study guide is much higher than the quality of any other materials, and questions and answers of FAR File training materials contain information from the best available sources.
AICPA FAR File - It will be a first step to achieve your dreams.
There may be a lot of people feel that the preparation process for FAR File exams is hard and boring, and hard work does not necessarily mean good results, which is an important reason why many people are afraid of examinations. Today, our FAR File exam materials will radically change this. High question hit rate makes you no longer aimless when preparing for the exam, so you just should review according to the content of our FAR File study guide prepared for you.
So there is nothing to worry about, just buy our FAR File exam questions. It is our consistent aim to serve our customers wholeheartedly.
FAR PDF DEMO:
QUESTION NO: 1
Which of the following statements regarding fair value is/are correct?
I. The fair value of an asset or liability is specific to the entity making the fair value measurement.
II. Fair value is the price to acquire an asset or assume a liability.
III. Fair value includes transportation costs, but not transaction costs.
IV. The price in the principal market for an asset or liability will be the fair value measurement.
A. I & II
B. I & IV
C. II & III
D. III & IV
Answer: D
Explanation:
Choice "d" is correct. Statements III and IV are correct. Statement I is incorrect because fair value is a market-specific measure, not an entity-specific measure. Statement II is incorrect because fair value is an
exit price (the price to sell an asset or transfer a liability), not an entrance price. Choices "a", "b" and
"c"
are incorrect, per the above Explanation: .
QUESTION NO: 2
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 sells extended service contracts on its products. Because related services are performed over several years, in 1993 Quo changed from the cash method to the accrual method of recognizing income
from these service contracts.
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: C
Explanation:
Choice "c" is correct. Change from the cash method to the accrual method is a correction of an error in
previously presented financial statements.
QUESTION NO: 3
Financial reporting by a development stage enterprise differs from financial reporting for an established
operating enterprise in regard to footnote disclosures:
A. Only.
B. And expense recognition principles only.
C. And revenue recognition principles only.
D. And revenue and expense recognition principles.
Answer: A
Explanation:
Choice "a" is correct. Financial reporting by a development stage enterprise differs from financial reporting for an established operating enterprise in regard to (more extensive) footnote disclosures only.
Choices "b", "c", and "d" are incorrect. Revenue and expense recognition principles are the same.
Rule:
Development stage enterprises should present financial statements in accordance with GAAP and make
additional disclosures such as: cumulative net losses, cumulative deficit (as part of equity), cumulative
sales and expenses (as part of the income statement), cumulative statement of cash flows and supplementary "shareholders equity."
QUESTION NO: 4
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
As a result of a production breakthrough, Quo determined that manufacturing equipment previously depreciated over 15 years should be depreciated over 20 years.
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: B
Explanation:
Choice "b" is correct. Change in lives of fixed assets is a change in accounting estimate.
QUESTION NO: 5
The summary of significant accounting policies should disclose the:
A. Maturity dates of noncurrent debts.
B. Terms for convertible debt to be exchanged for common stock.
C. Concentration of credit risk of all financial instruments by geographical region.
D. Criteria for determining which investments are treated as cash equivalents.
Answer: D
Explanation:
Choice "d" is correct. The criteria for determining which investments are treated as cash equivalents would be part of the summary of significant accounting policies. Choice "a" is incorrect. The maturity dates of noncurrent debts are required disclosures, but are not a part of the summary of significant accounting policies. Choice "b" is incorrect. The terms for convertible debt to be exchanged for common
stock are not accounting policies; they would be disclosed separately. Choice "c" is incorrect. The concentration of credit risk of all financial instruments by geographic region may be a required segment
disclosure, especially for financial institutions. However, it would not be a part of the summary of significant accounting policies.
Microsoft MS-900-KR - Our target is to reduce your pressure and improve your learning efficiency from preparing exam. If you buy our EMC D-GAI-F-01 exam questions, then you will find that Our EMC D-GAI-F-01 actual exam has covered all the knowledge that must be mastered in the exam. And our PRINCE2 PRINCE2Foundation training questions are popular in the market. So, please give the HP HPE0-V25 study materials a chance to help you. Fortinet NSE7_NST-7.2 - The three versions are very flexible for all customers to operate.
Updated: May 26, 2022