We have an authoritative production team, after you purchase FAR Reliable Practice Questions Ebook study materials, our professions can consolidate important knowledge points for you, and we guarantee that your FAR Reliable Practice Questions Ebook practice quiz is tailor-made. The last but not least, we can provide you with a free trial service, so that customers can fully understand our format before purchasing our FAR Reliable Practice Questions Ebook training guide, which can be an unparalleled trial experience compared to other counterparts. No other FAR Reliable Practice Questions Ebook study materials or study dumps will bring you the knowledge and preparation that you will get from the FAR Reliable Practice Questions Ebook study materials available only from Omgzlook. Not only will you be able to pass any FAR Reliable Practice Questions Ebook test, but will gets higher score, if you choose our FAR Reliable Practice Questions Ebook study materials. Our FAR Reliable Practice Questions Ebook preparation materials contain three versions: the PDF, the Software and the APP online.
Our FAR Reliable Practice Questions Ebook exam materials have plenty of advantages.
Friends or workmates can also buy and learn with our FAR - CPA Financial Accounting and Reporting Reliable Practice Questions Ebook practice guide together. Repeated attempts will sharpen your minds. Maybe our New FAR Practice Exam Online learning quiz is suitable for you.
Over the years, FAR Reliable Practice Questions Ebook exam questions have helped tens of thousands of candidates successfully pass professional qualification exams, and help them reach the peak of their career. It can be said that FAR Reliable Practice Questions Ebook test guide is the key to help you open your dream door. We have enough confidence in our products, so we can give a 100% refund guarantee to our customers.
AICPA FAR Reliable Practice Questions Ebook - Please make a decision quickly.
Today, in an era of fierce competition, how can we occupy a place in a market where talent is saturated? The answer is a certificate. What the certificate main? All kinds of the test FAR Reliable Practice Questions Ebook certification, prove you through all kinds of qualification certificate, it is not hard to find, more and more people are willing to invest time and effort on the FAR Reliable Practice Questions Ebook exam guide, because get the test FAR Reliable Practice Questions Ebook certification is not an easy thing, so, a lot of people are looking for an efficient learning method. And here, fortunately, you have found the FAR Reliable Practice Questions Ebook exam braindumps, a learning platform that can bring you unexpected experiences.
The product of Omgzlook not only can 100% guarantee you to pass the exam, but also can provide you a free one-year update service. If you choose Omgzlook, success is not far away for you.
FAR PDF DEMO:
QUESTION NO: 1
According to the FASB conceptual framework, the process of reporting an item in the financial statements
of an entity is:
A. Allocation.
B. Matching.
C. Realization.
D. Recognition.
Answer: D
Explanation:
Choice "d" is correct. Recognition is the process of recording an item in the financial statements of an entity. SFAC 5 para. 6 Choice "a" is incorrect. Allocation is the accounting process of assigning or distributing an amount according to a plan or a formulA. SFAC 6 para. 142 Choice "b" is incorrect.
Matching of costs and revenues is simultaneous or combined recognition of the revenues and expenses
that result directly and jointly from the same transactions or other events. SFAC 6 para. 146 Choice
"c" is
incorrect. Realization is the process of converting noncash resources and rights into money. SFAC 6 para.
1 43
QUESTION NO: 2
Conceptually, interim financial statements can be described as emphasizing:
A. Timeliness over reliability.
B. Reliability over relevance.
C. Relevance over comparability.
D. Comparability over neutrality.
Answer: A
Explanation:
Choice "a" is correct. Interim financial statements emphasize timeliness (an element of relevance) by providing financial information based on actual performance to date and estimates prior to year end.
Information must be available when it is needed to be useful. Reliability is impeded by the extensive use
of estimates; however, the lag until verifiability is obtained detracts from usefulness. SFAC 2 para. 56
Choice "b" is incorrect. Relevance (particularly timeliness) of information in interim financial statements is
emphasized more than reliability. Reliability is impeded by the extensive use of estimates in interim data.
Choice "c" is incorrect. Since comparability is a secondary quality of information, there should be no need
to trade off comparability for relevance (a primary quality). Choice "d" is incorrect. Neutrality is an element
of reliability (a primary quality of information. There should be NO need for a trade-off for comparability
over neutrality.
QUESTION NO: 3
During 1990, Fuqua Steel Co. had the following unusual financial events occur:
. Bonds payable were retired five years before their scheduled maturity, resulting in a $260,000 gain.
Fuqua has frequently retired bonds early when interest rates declined significantly.
. A steel forming segment suffered $255,000 in losses due to hurricane damage. This was the fourth similar loss sustained in a 5-year period at that location.
. A component of Fuqua's operations, steel transportation, was sold at a net loss of $350,000.
This was Fuqua's first divestiture of one of its operating segments.
Before income taxes, what amount should be disclosed as the gain (loss) from extraordinary items in
1 990?
A. $0
B. $5,000
C. $(90,000)
D. $(350,000)
Answer: A
Explanation:
Choice "a" is correct. $0. Note: The sale of the steel transportation component resulted in a loss from discontinued operations and is reported after "income from continuing operations." The steel forming
segment's hurricane damage (4th in 5 years) of $255,000 is only "unusual in nature" and does not occur
infrequently, therefore, it is not an "extraordinary item," and should be reported separately as a component of "income from continuing operations." The retirement of debt, although unusual, is not infrequent for the company; therefore, the gain does not qualify for classification as an extraordinary item
per APBO No. 30 (and SFAS No. 145).
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 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."
SAP P-S4FIN-2023 - For example, the software version can simulate the real exam environment. But enrolling in the AICPA certification HP HPE0-V28 exam is a wise choice, because in today's competitive IT industry, we should constantly upgrade ourselves. And the APP online version of our Fortinet FCSS_SASE_AD-23 exam dumps can support all kinds of electronic devices. You can free download part of Omgzlook's exercises and answers about AICPA certification Cisco 300-710 exam as a try, then you will be more confident to choose our Omgzlook's products to prepare your AICPA certification Cisco 300-710 exam. And our experts generalize the knowledge of the Juniper JN0-280 exam into our products showing in three versions.
Updated: May 26, 2022