International pytania

Question 1

All changes in equity during a period except those investments by owners and distributions to owners are called …

Answer 1

a. Comprehensive income

Question 2

a. Comprehensive income (znaczenie)

Answer 2

całkowite dochody

Question 3

Direct labor incurred is presented if the expenses are classified by

Answer 3

nature

Question 4

Which of these is not a limitation of the income statement
a. Companies omit (pomijać) items that cannot be measured reliably
b. Income numbers are affected by the accounting methods employed
c. Income measurement involves (wymagać) judgement
d. All of the above are such limitations

Answer 4

All of the above are such limitations

Question 5

Which of these rations measures the dollars earned by each ordinary share:
a. Dividend payout
b. Price / Earnings
c. Earning per share
d. Return on equity

Answer 5

c. Earning per share

Question 6

Losses
a. Always arise from ordinary activities
b. Are not recognized in the accounting records
c. May arise from ordinary activities
d. May or may not arise from ordinary activities

Answer 6

May arise from ordinary activities

Question 7

Increases in economic benefits during the accounting period in the form of inflows or enhancements (ulepszeń) of assets – this is a part of the definition of

Answer 7

revenues

Question 8

Unrealized gains and losses on non-trading equity securities affect

Answer 8

a. Other comprehensive income

Question 9

Gross profit
a. Is not computed (obliczać) by deducting cost of goods sold from net sales
b. Includes unusual or incidental revenues
c. Does not provide a useful number for evaluating performance and predicting future earnings
d. None of the above answers is correct

Answer 9

None of the above answers is correct

Question 10

Other income and expense

Answer 10

Should be reported as part of income from operations

Question 11

A component of an entity that either has been disposed (zbyta) of, or is classified as held-for-sale, and:
a. Represents a minor line of business or geographical area of operations
b. Is part of a single, co-coordinated plan to dispose of a minor line of business or geographical area of operations
c. Is a subsidiary acquired exclusively with a view to liquidate
d. None of the above answers is correct

Answer 11

None of the above answers is correct

Question 12

Treasury shares (akcje skarbowe) are

Answer 12

The amount of ordinary shares repurchased

Question 13

The company’s undistributed earnings are

Answer 13

retained earnings

Question 14

Collections received in advance for the delivery of goods or performance of services are

Answer 14

revenues

Question 15

Financing activities in the statement of cash flow are correctly described by which of the following sentences?
a. Transactions that enter into the determination of net income
b. None of the sentences describes financing activities
c. Transactions involving assets and equity items
d. Making and collecting loans and acquiring and disposing of investments and property, plant, and equipment

Answer 15

b. None of the sentences describes financing activities

Question 16

Which of the financial statement comprises a summary of significant accounting policies and other explanatory information

Answer 16

b. Notes

Question 17

Tangible long-lived assets used in the regular operations of the business are
a. Known as property, plant, and equipment
b. Never amortized
c. Almost always depreciated
d. All of the above are correct answers

Answer 17

d. All of the above are correct answers

Question 18

Payment of cash, that is recorded as an asset because service or benefit will be received in the future are

Answer 18

a. Prepaid expenses

Question 19

Current assets are defined as

Answer 19

a. Cash and other assets a company expect to convert into cash, sell, or consume either in one year or in the operating cycle, whichever is longer

Question 20

Statement of financial position does not help to assess the company’s

Answer 20

free cash flows

Question 21

Which of the following is not a characteristics of receivables’ sale….

Seller records loss on sale

Transfer is sometimes referred to as a failed sale

Transfer is outright sale of receivable

Purchaser assumes risk of collection and absorbs any credit losses

Answer 21

transfer is sometimes referred to as a failed sale

Question 22

Choose a false statement

Bank overdrafts (kredyty w rachunku bieżącym) are generally reported as a current liability

Available funds on deposit at the bank are cash equivalents

Companies segregate restricted cash from “regular” cash

Cash equivalents are so near their maturity that they present insignificant risk of changes in value

Answer 22

Available funds on deposit at the bank are cash equivalents

Question 23

Credit loses are recorded as

Answer 23

Debits to bad debt expense

Question 24

If a note receivable is a zero-interest-bearing note, then

Answer 24

No interest is paid

Question 25

In which of the methods of accounting for uncollectible accounts

Answer 25

Allowance method

Question 26

Talking about notes receivable, who is the maker

Answer 26

The debtor

Question 27

Oral promises of the purchaser to pay for goods and services sold are….

Answer 27

accounts receivable

Question 28

Majority of notes receivable originates from

Answer 28

Lending transactions

Question 29

A company abandons the historical cost principle when the future utility of the asset drops below its

Answer 29

Original cost

Question 30

Every time a sale is made, the decrease of inventory is recording ...

Answer 30

Perpetual inventory system

Question 31

Biological assets are measured on initial recognition and at the

Answer 31

At fair value less costs to sell (NRV)

Question 32

Which ones are not inventories Office supplies Merchandise Finished goods Raw materials

Answer 32

Office supplies

Question 33

If a supplier ships goods to the buyer f.o.b. shipping point,

Answer 33

Are a buyer’s inventory

Question 34

Which of the following methods are not allowed for fina…….. FiFo LiFo Average cost method All of the above are allowed

Answer 34

lifo

Question 35

The harvested product of a biological asset, such as wool fr…. Picked fruit from a fruit tree, or cotton from plant…..

Answer 35

Agricultural produce

Question 36

Which of them could be inventories of a manufacotring compa…… Equipment-in-use Work-in-progress Job-for-work

Answer 36

Work-in-progress

Question 37

Companies may value property, plant, and equipment in

Answer 37

The cost method or the revaluation method

Question 38

Which of the following is and example of involuntary conversion…. Fire Flood Theft All of the above

Answer 38

All of the above

Question 39

The approach used by IFRS to interest costs during construction is ...

Answer 39

Capitalize actual costs incurred during construction

Question 40

If a plant asset is disposed of, then a gain or loss on disposal is calculated as the difference between

Answer 40

Selling price and net book value

Question 41

A recoverable amount is

Answer 41

The higher of fair value less costs to sell and value-in-use

Question 42

Economic factors causing the retirement of a fixed assets include

Answer 42

Obsolescence

Question 43

Computation of the depletion base involves

Answer 43

Exploratory and evaluation costs

Question 44

Depreciation is the accounting process of allocating the cost of tangible

Answer 44

A systematic and rational manner

Question 45

The smallest group of assets that can be identified that generate cash flows in… cash flows from other assets are called

Answer 45

Cash generating units

Question 46

Which of the following methods of calculating depreciation does not deduct th….. computing the depreciation base

Answer 46

Declining-balance method

Question 47

Depletion

Answer 47

Is a process of allocating the cost of mineral resources

Question 48

A cost of a fixed asset less its residual value is called

Answer 48

Depreciable base

Question 49

Normally, companies compute depletion on a

Answer 49

Units-of-production (activity) method

Question 50

What does happen to a long-lived tangible asset when a com(…) asset’s carrying amount either through using it or by selling (…)

Answer 50

It's impaired

Question 51

Which of the following is an example of customer-related intangible

Answer 51

Production backlogs (zaległości produkcyjne)

Question 52

Cost of intangible assets

Answer 52

Includes all acquisition cost plus expenditures to use the intangible asset

Question 53

Research costs

Answer 53

Cannot be capitalized

Question 54

Short term obligations expected to be refinanced should be excluded from current liabilities if two conditions are met. One of them is that a business None of the other answers is correct Must be liquid and solvent Must intend to refinance the obligation on a short term-basis Must have a conditional right to defer settlement of the liability for at least 12 months after the reporting date

Answer 54

None of the other answers is correct