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CPA Australia Financial-Accounting-and-Reporting Exam Syllabus Topics:
| Section | Objectives |
|---|---|
| Consolidated Financial Statements | - Group accounting
|
| Assets | - Asset recognition and measurement
|
| Financial Statements | - Preparation and presentation
|
| Financial Statement Analysis and Interpretation | - Analysis techniques
|
| Revenue Recognition | - Revenue from contracts with customers
|
| Liabilities and Equity | - Financial instruments and obligations
|
| Financial Reporting Framework | - Conceptual framework for financial reporting
|
CPA Australia CPA Financial Accounting and Reporting Sample Questions:
Which one of the following describes the key advantage of the manual system of accounting?
- A. A thorough understanding of the business can be gained through it.
- B. Processing is maintained at a reasonable speed even while dealing with large volumes of data.
- C. Corrections are easily managed as updating or recreating the whole document is not difficult.
- D. The quality of output is not necessarily an issue.
Correct Answer: A 🗳️
Which one of the following is an advantage of current purchasing power accounting?
- A. It provides a stable monetary unit that values profit and capital.
- B. It supposes that value of net assets clearly reflects general goods and services are bought once assets were released.
- C. It enables raw data to be just easily verifiable but not auditable.
- D. It provides a clear use of indices which approximates the measurement of value.
Correct Answer: A 🗳️
Which one of the following is an accurate definition of fair value of an asset?
- A. The price for which an asset could be sold in an orderly transaction between market participants at the measurement date.
- B. The price for which an asset could be sold net of disposal costs.
- C. The amount yet to be written off over the remainder of the asset's useful life.
- D. The cost of replacing an asset with an identical item.
Correct Answer: A 🗳️
Financial managers will benefit in a strongly efficient market by
- A. being able to decide what information needs to be made available to shareholders.
- B. having their shareholders be tolerant of low profits if higher profits are expected in the future.
- C. having their shareholders invest more money into expanding the company's operations.
- D. being able to take more risks without shareholders' consent.
Correct Answer: B 🗳️
Which one of the following countries has the view that Generally Accepted Accounting Principles (GAAP) refers to accounting practices which are regarded as permissible by the accounting profession?
- A. Australia
- B. Canada
- C. United States of America
- D. United Kingdom
Correct Answer: D 🗳️
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