If you are a diligent person, we strongly advise you to try our FAR Practice Exam Online real test. You will be attracted greatly by our FAR Practice Exam Online practice engine. . You can choose Omgzlook's AICPA FAR Practice Exam Online exam training materials. This is training product that specifically made for IT exam. It is universally acknowledged that mock examination is of great significance for those who are preparing for the exam since candidates can find deficiencies of their knowledge as well as their shortcomings in the practice test, so that they can enrich their knowledge before the real FAR Practice Exam Online exam.
AICPA Certification FAR We always put your needs in the first place.
Actually, just think of our FAR - CPA Financial Accounting and Reporting Practice Exam Online test prep as the best way to pass the exam is myopic. The inevitable trend is that knowledge is becoming worthy, and it explains why good Answers FAR Real Questions resources, services and data worth a good price. We always put our customers in the first place.
Our FAR Practice Exam Online preparation practice are highly targeted and have a high hit rate, there are a lot of learning skills and key points in the exam, even if your study time is very short, you can also improve your FAR Practice Exam Online exam scores very quickly. Even if you have a week foundation, I believe that you will get the certification by using our FAR Practice Exam Online study materials. We can claim that with our FAR Practice Exam Online practice engine for 20 to 30 hours, you will be ready to pass the exam with confidence.
You will never worry about the AICPA FAR Practice Exam Online exam.
To cope with the fast growing market, we will always keep advancing and offer our clients the most refined technical expertise and excellent services about our FAR Practice Exam Online exam questions. In the meantime, all your legal rights will be guaranteed after buying our FAR Practice Exam Online study materials. For many years, we have always put our customers in top priority. Not only we offer the best FAR Practice Exam Online 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 Practice Exam Online practice materials for you. Tens of thousands of candidates have fostered learning abilities by using our FAR Practice Exam Online Learning materials you can be one of them definitely.
FAR PDF DEMO:
QUESTION NO: 1
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."
QUESTION NO: 2
Which of the following should be disclosed for each reportable operating segment of an enterprise?
A. Option A
B. Option B
C. Option C
D. Option D
Answer: A
Explanation:
Choice "a" is correct. For each reportable segment of an enterprise, both profit or loss and total assets
should be disclosed. In disclosure questions, if you are not sure, disclose the most rather than the least.
Choice "b" is incorrect. For each reportable segment of an enterprise, both profit or loss and total assets
should be disclosed. Choice "c" is incorrect. For each reportable segment of an enterprise, both profit or
loss and total assets should be disclosed. Choice "d" is incorrect. For each reportable segment of an enterprise, both profit or loss and total assets should be disclosed.
QUESTION NO: 3
The effect of a material transaction that is infrequent in occurrence but not unusual in nature should be
presented separately as a component of income from continuing operations when the transaction results in a:
A. Option A
B. Option B
C. Option C
D. Option D
Answer: A
Explanation:
Choice "a" is correct, Yes - Yes. A material transaction that is "infrequent in occurrence" but not
"unusual
in nature" should be presented separately as a component of "income from continuing operations" when
the transaction results in a gain or loss.
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 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.
Even the EMC D-AV-DY-23 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. Our CompTIA CAS-005 study materials provide a promising help for your CompTIA CAS-005 exam preparation whether newbie or experienced exam candidates are eager to have them. Microsoft AZ-400 - So do not hesitate and hurry to buy our study materials. By analyzing the syllabus and new trend, our Fortinet NSE6_WCS-7.0 practice engine is totally in line with this exam for your reference. Splunk SPLK-1005 - We must realize our own values and make progress.
Updated: May 26, 2022