We can guarantee to you that there no virus in our product. Not only that, we also provide the best service and the best FAR Latest Exam Sample Questions exam torrent to you and we can guarantee that the quality of our product is good. So please take it easy after the purchase and we won’t let your money be wasted. We are glad to help you get the certification with our best FAR Latest Exam Sample Questions study materials successfully. Are you aware of the importance of the FAR Latest Exam Sample Questions certification? If your answer is not, you may place yourself at the risk of be eliminated by the labor market. We would like to create a better future with you hand in hand, and heart with heart.
AICPA Certification FAR Just buy it and you will love it!
AICPA Certification FAR Latest Exam Sample Questions - CPA Financial Accounting and Reporting Your current achievements cannot represent your future success. If you are satisfied with our Latest Study Guide FAR Files training guide, come to choose and purchase. If you buy the Software or the APP online version of our Latest Study Guide FAR Files study materials, you will find that the timer can aid you control the time.
Now, you are fortunate enough to come across our FAR Latest Exam Sample Questions exam guide. We have free demos on the website for our customers to download if you still doubt our products, and you can check whether it is the right one for you before purchase as well. Our FAR Latest Exam Sample Questions exam materials are famous among candidates.
AICPA FAR Latest Exam Sample Questions - You can directly select our products.
According to personal propensity and various understanding level of exam candidates, we have three versions of FAR Latest Exam Sample Questions study guide for your reference. They are the versions of the PDF, Software and APP online. If you visit our website on our FAR Latest Exam Sample Questions exam braindumps, then you may find that there are the respective features and detailed disparities of our FAR Latest Exam Sample Questions simulating questions. And you can free donwload the demos to have a look.
With the rapid development of society, people pay more and more attention to knowledge and skills. So every year a large number of people take FAR Latest Exam Sample Questions tests to prove their abilities.
FAR PDF DEMO:
QUESTION NO: 1
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: 2
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: 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 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.
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
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.
CIW 1D0-623 - Holding a professional certificate means you have paid more time and effort than your colleagues or messmates in your major, and have experienced more tests before succeed. Cisco 200-301 - Although everyone hopes to pass the exam, the difficulties in preparing for it should not be overlooked. One decision will automatically lead to another decision, we believe our SAP C-THR85-2405 guide dump will make you fall in love with our products and become regular buyers. Obtaining the Citrix 1Y0-204 certification is not an easy task. IBM C1000-163 - CPA Financial Accounting and Reporting study questions provide free trial service for consumers.
Updated: May 26, 2022