Reference no: EM133002165

Problem 1: In he context of financial accounting and reporting, which is NOT a reporting entity

a. a business segment of a corporation
b. a professional practitioner
c. a household owing a corporation
d. a partnership

Problem 2: [S1] Classification of sorting of assets, liabilities, equity, income and expenses on the basis of shared or similar characteristics. [S2] Aggregation is the adding together of similar elements o the financial statements

a. Only S1 is true
b. Only S2 is true.
c. Both S1 and S2 are true.
d. Both S1 and S2 are false.

Problem 3: Accounting information is considered relevant when it

a. is capable of making a difference in a decision.
b. Can be depended on to represent the economics conditions and events that it is intended to represent.
c. is verifiable and neutral
d. is understandable by reasonably informed users of accounting information.

Problem 4: What are the main areas in the practices of the accountancy profession

a. Recording, classifying, summarizing, and interpreting
b. Financial accounting, managerial accounting, auditing, taxation
c. Public accounting, private accounting, government accounting and academe
d. Accounting for for-profit organizations and not-for-profit organizations