So try to trust us. Our FAR Test Topics Pdf study materials will help you generate a wonderful life. We have three versions packages of the FAR Test Topics Pdf exam questions to help you comprehensively. So, hurry to take action. Have you signed up for AICPA FAR Test Topics Pdf exam? Will masses of reviewing materials and questions give you a headache? Omgzlook can help you to solve this problem. Our windows software and online test engine of the FAR Test Topics Pdf exam questions are suitable for all age groups.
AICPA Certification FAR When choosing a product, you will be entangled.
While others are playing games online, you can do online FAR - CPA Financial Accounting and Reporting Test Topics Pdf exam questions. However, we believe that with the excellent quality and good reputation of our study materials, we will be able to let users select us in many products. Our study materials allow users to use the FAR Latest Test Practice certification guide for free to help users better understand our products better.
AICPA online test dumps can allow self-assessment test. You can set the time of each time test with the FAR Test Topics Pdf online test engine. Besides, the simulate test environment will help you to be familiar with the FAR Test Topics Pdf actual test.
AICPA FAR Test Topics Pdf - You can download our app on your mobile phone.
The Omgzlook product here is better, cheaper, higher quality and unlimited for all time; kiss the days of purchasing multiple AICPA braindumps repeatedly, or renewing FAR Test Topics Pdf training courses because you ran out of time. Now you can learn FAR Test Topics Pdf skills and theory at your own pace and anywhere you want with top of the FAR Test Topics Pdf braindumps, you will find it's just like a pice a cake to pass FAR Test Topics Pdfexam.
FAR Test Topics Pdf practice materials stand the test of time and harsh market, convey their sense of proficiency with passing rate up to 98 to 100 percent. They are 100 percent guaranteed FAR Test Topics Pdf learning quiz.
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
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: 3
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: 4
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: 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.
Contrary to most of the Microsoft MB-230 exam preparatory material available online, Omgzlook’s dumps can be obtained on an affordable price yet their quality and benefits beat all similar products of our competitors. Those updates of our Splunk SPLK-3003 exam questions will be sent to you accordingly for one year freely. ISACA CISM exam materials contain all the questions and answers to pass ISACA CISM exam on first try. Our MuleSoft MCPA-Level-1 real exam helps you not only to avoid all the troubles of learning but also to provide you with higher learning quality than other students'. As long as you choose our EMC D-PEXE-IN-A-00 exam questions, you will get the most awarded.
Updated: May 26, 2022