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CPA Australia Financial-Accounting-and-Reporting Exam Syllabus Topics:

CPA Australia CPA Financial Accounting and Reporting Sample Questions:

1. Which one of the following bodies makes accounting standards in Australia?

A) FRC
B) AASB
C) ASIC
D) IASB

2. The International Federation of Accountants (IFAC) was established by

A) the United Nations.
B) various professional accounting bodies.
C) the Organization for Economic Co-operation & Development.
D) the International Accounting Standards Board.

3. According to IASB's Conceptual Framework, an expense is a decrease in economic benefits in the form of
I.
outflows.
II.
decreases of assets.
III.
incurrences of liabilities.
IV.
contributions to equity holders.

A) I, II and IV only
B) I, III and IV only
C) I, II and III only
D) II, III and IV only

4. In a stock market that displays strong efficiency, share prices reflect all available

A) public and inside information.
B) public information.
C) information about future expansion plans.
D) information about past changes in share prices.

5. Which one of the following is an advantage of current purchasing power accounting?

A) It provides a clear use of indices which approximates the measurement of value.
B) It enables raw data to be just easily verifiable but not auditable.
C) It provides a stable monetary unit that values profit and capital.
D) It supposes that value of net assets clearly reflects general goods and services are bought once assets were released.

Solutions: