Which of the following statements correctly relate to the provisions of PAS 1
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Show CONCEPTUAL FRAMEWORK AND ACCOUNTING STANDARDS Conceptual Framework and Accounting Standards (1-19) Q&A 1.Which of the following correctly relate(s) to the Monetary/ Stable monetary/ Monetary Unit concept? I.assets, liabilities, equity, revenues and expenses should be stated in terms of a unit of measure which is the peso in the Philippines. II.the purchasing power of the peso is stable or constant and that its instability is insignificant and therefore ignored. a.I b.II c.I and II d.None 2.The PFRSs do not apply to a.sole proprietorships. b.partnerships. c.cooperatives. d.non-profit organizations. e.The PFRSs apply to all of these entities. 3.To be relevant, information should have which of the following? a.Verifiability. b.Confirmatory value. c.Understandability. d.Costs and benefits. 4.Entity A’s current year financial statements include the preceding year’s financial statements as comparative information. This is most in keeping with the concept of a. Inter-comparability. b.Intra-comparability. c.Verifiability. d.Faithful representation. 5.This refers to financial statements that are intended to meet the needs of users who are not in a position to require an entity to prepare reports tailored to their particular information needs. a.All-purpose financial statements b.General purpose financial statements c.Managerial reports d.Unisex financial statements 6.Which of the following statements is incorrect regarding the purpose of the Conceptual Framework? Which of the following does PAS 1 applies to?PAS 1 applies to the preparation and presentation of general purpose financial statements. The recognition, measurement and disclosure requirements for specific transactions and other events are set out in other PFRSs. The terminology used in PAS 1 is suitable for profit oriented entities.
What is the meaning of PAS 1?paul of Others. Overall considerations for financial statements: Fair presentation, accounting policies, going concern, accrual basis of accounting, consistency of presentation, materiality, and aggregation, offsetting and comparative information.
What is the objective and scope of PAS 1?The objective of PAS 1 is to ensure comparability by prescribing the basis for presentation of general purpose financial statements.
Which of the following is required under IAS 1 presentation of financial statements?The standard requires a complete set of financial statements to comprise a statement of financial position, a statement of profit or loss and other comprehensive income, a statement of changes in equity and a statement of cash flows.
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