If you Omgzlook, Omgzlook can ensure you 100% pass AICPA certification FAR Guide exam. If you fail to pass the exam, Omgzlook will full refund to you. Besides, you can take notes on it whenever you think of something important. The PDF version of our FAR Guide study quiz will provide you the most flexible study experience to success. In order to pass AICPA certification FAR Guide exam some people spend a lot of valuable time and effort to prepare, but did not succeed.
AICPA Certification FAR A bad situation can show special integrity.
And we believe you will pass the FAR - CPA Financial Accounting and Reporting Guide exam just like the other people! Since to choose to participate in the AICPA Valid Test FAR Certification Cost certification exam, of course, it is necessary to have to go through. This is also the performance that you are strong-willed.
So choosing our FAR Guide training materials is a wise choice. Our FAR Guidepractice materials will provide you with a platform of knowledge to help you achieve your dream. As you know, our v practice exam has a vast market and is well praised by customers.
AICPA FAR Guide - We provide one-year customer service; 4.
Perhaps you have wasted a lot of time to playing computer games. It doesn’t matter. It is never too late to change. There is no point in regretting for the past. Our FAR Guide exam questions can help you compensate for the mistakes you have made in the past. You will change a lot after learning our FAR Guide study materials. And most of all, you will get reward by our FAR Guide training engine in the least time with little effort.
If you are urgent to pass exam our exam materials will be suitable for you. Mostly you just need to remember the questions and answers of our AICPA FAR Guide exam review questions and you will clear exams.
FAR PDF DEMO:
QUESTION NO: 1
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.
QUESTION NO: 2
Rock Co.'s financial statements had the following balances at December 31:
What amount should Rock report as comprehensive income for the year ended December 31?
A. $400,000
B. $420,000
C. $520,000
D. $570,000
Answer: C
Explanation:
Choice "c" is correct. Comprehensive Income includes all items included in "Net Income" plus "Other
Comprehensive Income" items. Since the $50,000 extraordinary gain is already included in Net
Income,
Comprehensive Income is:
QUESTION NO: 3
How should the effect of a change in accounting estimate be accounted for?
A. By restating amounts reported in financial statements of prior periods.
B. By reporting pro forma amounts for prior periods.
C. As a prior period adjustment to beginning retained earnings.
D. In the period of change and future periods if the change affects both.
Answer: D
Explanation:
Choice "d" is correct, a "change in accounting estimate" affects only the current and subsequent
(future)
periods, if the change affects both. It does not affect "prior periods," nor "retained earnings." Choice
"a" is
incorrect. Restating prior years' financial statements is required when comparative financial statements
are shown for prior period adjustments of "corrections of errors," "changes in entities," and changes in
accounting principle. Choices "b" and "c" are incorrect. A "change in accounting estimate" does not affect
prior periods.
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
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 B represents the general accounting treatment
required for these transactions. These treatments are:
. Cumulative effect approach - Include the cumulative effect of the adjustment resulting from the accounting change or error correction in the 1993 financial statements, and do not restate the 1992 financial statements.
. Retroactive or retrospective restatement approach - Restate the 1992 financial statements and adjust
1 992 beginning retained earnings if the error or change affects a period prior to 1992.
. Prospective approach - Report 1993 and future financial statements on the new basis but do not restate
1 992 financial statements.
Item to Be Answered
Quo changed from FIFO to average cost to account for its raw materials and work in process inventories.
List B (Select one)
A. Cumulative effect approach.
B. Retroactive or retrospective restatement approach.
C. Prospective approach.
Answer: B
Explanation:
Choice "B" is correct. A change in accounting principle should be shown in the retained earnings statement of the earliest year presented as an adjustment of the beginning balance. All prior year financial
statements are recast.
EMC D-PEMX-DY-23 - There is no doubt that the certification has become more and more important for a lot of people, especial these people who are looking for a good job, and it has been a general trend. EMC D-DS-OP-23 - Please totally trust the accuracy of questions and answers. We have taken our customers’ suggestions of the VMware 6V0-32.24 exam prep seriously, and according to these useful suggestions, we have tried our best to perfect the VMware 6V0-32.24 reference guide from our company just in order to meet the need of these customers well. The EMC D-MN-OE-23 test answers are tested and approved by our certified experts and you can check the accuracy of our questions from our free demo. Usually, the questions of the real exam are almost the same with our EMC D-VXB-DY-A-24 exam questions.
Updated: May 26, 2022