Financial Reporting Ninja

Question 1

Which SEC document provides instructions on filing non financial statement forms required by the SEC

Answer 1

regulation S-k

Question 2

Which SEC document provides instructions on filing financial statement forms required by the SEC

Answer 2

regulation s-x

Question 3

To determine the accounting treatment for a transaction, a governmental entity must first refer to:

Answer 3

the Codification of Governmental Accounting and Financial Reporting Standards.

Question 4

Permanent differences between taxable income and pre-tax accounting income affect:

Answer 4

A permanent difference affects only the current reconciliation of book income to taxable income, and the permanent difference has no effect on the computation of deferred taxes. Permanent differences do not affect either interperiod or intraperiod income tax allocation.

Question 5

Which of the following disclosures should prospective financial statements include?

• Summary of significant accounting policies
• Summary of significant assumptions
• Both summary of significant accounting policies and summary of significant assumptions
• Neither summary of significant accounting policies nor summary of significant assumptions

Answer 5

Both sig accounting policies and assumptions

Question 6

If it is probably you are going to win a lawsuit at a gain how do you record it on the FSq

Answer 6

as a Disclosure because it is a GAIN if it was a loss then you would accrue the loss on the FS if it was probable

Question 7

The statement of net assets available for benefits of the plan must include the following:

Answer 7

Total assets
Total liabilities
Net assets reflecting all investments at fair value
Net assets available for benefits

Question 8

Cash collected from customers using the direct method for statement of CF includes:

Answer 8

sales revenue,
plus collections of accounts receivable from the prior year,
less recorded sales not yet received in cash

Question 9

The University of Tulsa, a private institution, is required to report under the standards of which of the following bodies?

Answer 9

FASB

Question 10

With respect to the categories of assets, liabilities, and stockholders’ equity presented on the balance sheet (statement of financial position), what are U.S. GAAP and IFRS differences?

Answer 10

IFRS statements may present property, plant, and equipment first in the balance sheet.

Question 11

Gain on extinguish (or refund )of debt is recorded where

Answer 11

continuing operations

Question 12

How is vacation pay and sick pay accrued and reported

Answer 12

Vacation pay is accrued but sick pay is not

Question 13

how do you report the fair value of a non financial asset

Answer 13

highest and best use

Question 14

Topic 275 of the FASB’s Accounting Standards Codification is entitled “Risks and Uncertainties.” The primary subject discussed in this topic is:

Answer 14

Disclosure

Question 15

Only the costs which are ____ associated with the condemned property should be included in the determination of the gain on the condemnation

Answer 15

Direct

appraisal fee, attorney fees

Question 16

If the exchange of an asset lacks commercial substance, the asset is measured at its ____

Answer 16

BV

Question 17

Under IFRS accounting for business combinations, which of the following is correct?
A.

Full goodwill accounting is required.
B.

Accounting for goodwill is not permitted.
C.

A bargain purchase cannot be recognized as an extraordinary gain.
D.

Accounting for goodwill is optional but not required.

Answer 17

Accounting for goodwill is optional but not required.

Question 18

How many periods should leases disclose information and periods there after

Answer 18

5, 3 years

Question 19

Subsequent events take place:

Answer 19

after the formal balance sheet date

Question 20

A not-for-profit hospital issued long-term tax-exempt bonds for the hospital’s benefit. The hospital is responsible for the liability. Which fund may the hospital use to account for this liability

Answer 20

General fund

Question 21

The retail inventory method includes which of the following in the calculation of both cost and retail amounts of goods available for sale

Answer 21

purchase returns

Question 22

Program services expenses are incurred in ______

Answer 22

Program services expenses are incurred in carrying out the primary mission of an organization.

Question 23

what does gov’t MDA discuss

Answer 23

presents both a short-term and a long-term analysis of the local government’s activities and status; and it discusses the current-year results compared with the prior-year results, discussing both positive and negative aspects of the comparisons.

Question 24

Costs related to research done on behalf of a client are expensed as _____ unless there is an obligation for the client to repay the cost

Answer 24

an operating expense,

Question 25

Market research is an _______ expense

Answer 25

Market research is an operating expense not directly related to research. Market research is expensed as an operating expense.

Question 26

Any gain or loss on futures contracts not designated as a hedge is recognized _____

Answer 26

in current income.

Question 27

What are examples of financing outflows

Answer 27

Other financing activities would include the issuance of stock, the purchase of treasury stock, the issuance of bonds, borrowing funds, and paying back principal related to bonds and loans.

Question 28

The payment of interest on the bonds payable is an ___ outflow under U.S. GAAP and the payment to acquire the common stock of a company is _____

Answer 28

operating cash, investing

Question 29

operating transfers out (uses of $125,000) would produce what on Govt STCF

Answer 29

noncapital financing activities

Question 30

Cash payments to suppliers (uses of $250,000) and Interfund reimbursement receipts (sources of $150,000) are classified as what for Gov't STMNT CF

Answer 30

Operating

Question 31

non-current deferred tax liability. Under U.S. GAAP, deferred tax liabilities and assets should be classified and reported as a______

Answer 31

non-current amount on the balance sheet.

Question 32

The estimated revenues control account balances of a gov't fund are eliminated when the =

Answer 32

budgetary accounts are closed.