Reference no: EM132958282

Problem 1: A well written partnership agreement should include all of the following except ________.

A. capital contributed by partners

B. drawings made by partners

C. profit or loss sharing ratio

D. interest on loan

Problem 2: Which of the following items would be found in a partner's current account ?

i. Drawings

ii. Capital

iii. Interest on loan

iv. Sharing of profit or loss

A. i, ii and iii

B. i, iii and iv

C. ii, iii and iv

D. All of the above

Problem 3: A conceptual framework for financial reporting is ________________.

A. a set of regulations which govern financial reporting

B. a set of principles which underpin financial reporting

C. a set of items which make up an entity's financial statements

D. a set of financial reporting standard

Problem 4: Which of the following is the fundamental qualitative characteristics of the conceptual framework for financial reporting ?

A. Relevance

B. Verifiability

C. Timeliness

D. Understandability