Question 1: MULTIPLE CHOICE QUESTIONS: (A1&D3) General-purpose financial statements are the product of financial accounting. managerial accounting. both financial and managerial accounting. neither financial nor managerial accounting. Users of financial reports include all of the following except creditors. government agencies. unions. All of these are users. The purpose of the International Accounting Standards Board is to issue enforceable standards which regulate the financial accounting and reporting of multinational corporations. develop a uniform currency in which the financial transactions of companies through-out the world would be measured. promote uniform accounting standards among countries of the world. arbitrate accounting disputes between auditors and international companies. 4.Decision makers vary widely in the types of decisions they make, the methods of decision making they employ, the information they already possess or can obtain from other sources, and their ability to process information. Consequently, for information to be useful there must be a linkage between these users and the decisions they make. This link is relevance. reliability. understandability. materiality. 5.The overriding criterion by which accounting information can be judged is that of usefulness for decision making. freedom from bias. timeliness. comparability. 6.The two primary qualities that make accounting information useful for decision making are comparability and consistency. materiality and timeliness. relevance and reliability. reliability and comparability. 7. Accounting principles are "generally accepted" only when an authoritative accounting rule-making body has established it in an official Pronouncement. it has been accepted as appropriate because of its universal application. both a and b. neither a nor b. 8. Companies that are listed on a stock exchange are required to submit their financial statements to the AICPA. APB FASB. SEC. 9. The most significant current source of generally accepted accounting principles is the AICPA. SEC. APB. FASB. 10. Financial statements in the early 2000s provide information related to non-financial measurements. forward-looking data. hard assets (inventory and plant assets). none of these.

Question 1: MULTIPLE CHOICE QUESTIONS: (A1&D3) General-purpose financial statements are the product of financial accounting. managerial accounting. both financial and managerial accounting. neither financial nor managerial accounting. Users of financial reports include all of the following except creditors. government agencies. unions. All of these are users. The purpose of the International Accounting Standards Board is to issue enforceable standards which regulate the financial accounting and reporting of multinational corporations. develop a uniform currency in which the financial transactions of companies through-out the world would be measured. promote uniform accounting standards among countries of the world. arbitrate accounting disputes between auditors and international companies. 4.Decision makers vary widely in the types of decisions they make, the methods of decision making they employ, the information they already possess or can obtain from other sources, and their ability to process information. Consequently, for information to be useful there must be a linkage between these users and the decisions they make. This link is relevance. reliability. understandability. materiality. 5.The overriding criterion by which accounting information can be judged is that of usefulness for decision making. freedom from bias. timeliness. comparability. 6.The two primary qualities that make accounting information useful for decision making are comparability and consistency. materiality and timeliness. relevance and reliability. reliability and comparability. 7. Accounting principles are "generally accepted" only when an authoritative accounting rule-making body has established it in an official Pronouncement. it has been accepted as appropriate because of its universal application. both a and b. neither a nor b. 8. Companies that are listed on a stock exchange are required to submit their financial statements to the AICPA. APB FASB. SEC. 9. The most significant current source of generally accepted accounting principles is the AICPA. SEC. APB. FASB. 10. Financial statements in the early 2000s provide information related to non-financial measurements. forward-looking data. hard assets (inventory and plant assets). none of these.

Financial Accounting: The Impact on Decision Makers

10th Edition

ISBN:9781305654174

Author:Gary A. Porter, Curtis L. Norton

Publisher:Gary A. Porter, Curtis L. Norton

Chapter1: Accounting As A Form Of Communication

Section: Chapter Questions

Problem 1.13E

See similar textbooks

Related questions

Question

Question 1: MULTIPLE CHOICE QUESTIONS: (A1&D3)

General-purpose financial statements are the product of
financial accounting.
managerial accounting.
both financial and managerial accounting.
neither financial nor managerial accounting.

Users of financial reports include all of the following except
creditors.
government agencies.
unions.
All of these are users.

The purpose of the International Accounting Standards Board is to
issue enforceable standards which regulate the financial accounting and reporting of multinational corporations.
develop a uniform currency in which the financial transactions of companies through-out the world would be measured.
promote uniform accounting standards among countries of the world.
arbitrate accounting disputes between auditors and international companies.

4.Decision makers vary widely in the types of decisions they make, the methods of decision making they employ, the information they already possess or can obtain from other sources, and their ability to process information. Consequently, for information to be useful there must be a linkage between these users and the decisions they make. This link is

relevance.
reliability.
understandability.
materiality.

5.The overriding criterion by which accounting information can be judged is that of

usefulness for decision making.
freedom from bias.
timeliness.
comparability.

6.The two primary qualities that make accounting information useful for decision making are

comparability and consistency.
materiality and timeliness.
relevance and reliability.
reliability and comparability.

7. Accounting principles are "generally accepted" only when
an authoritative accounting rule-making body has established it in an official

Pronouncement.

it has been accepted as appropriate because of its universal application.
both a and b.
neither a nor b.

8. Companies that are listed on a stock exchange are required to submit their financial statements to the
AICPA.
APB
FASB.
SEC.

9. The most significant current source of generally accepted accounting principles is the
AICPA.
SEC.
APB.
FASB.

10. Financial statements in the early 2000s provide information related to
non-financial measurements.
forward-looking data.
hard assets (inventory and plant assets).
none of these.

Process of recording, summarizing, and analyzing financial information to prepare financial statements, and making them available to stakeholders, thereby enabling them to make an informed decision about the company. Financial reporting is an extension of financial accounting that deals with the presentation of financial information in accordance with the requirements of prescribed accounting standards.

Expert Solution

Trending now

This is a popular solution!

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Structure of International accounting standard board (IASB)

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.