Reference no: EM132788342

Problem 1: Under the Conceptual Framework the preferred measurement model is:

Select one:

Option 1: Present Value.

Option 2: Historical Cost.

Option 3: Current Cost.

Option 4: None of the above.

Problem 2: One of the rules-based standard disadvantages can be:

Select one:

Option 1: None of the above.

Option 2: They allow for no manipulation.

Option 3: They can be very complex.

Option 4: They can be very simple.

Problem 3: Accounting theory can be described as:

Select one:

Option 1: being based only on observations.

Option 2: being irrelevant to the development of new practice and procedures.

Option 3: a set of facts, specific in nature, against which accounting practice can be evaluated.

Option 4: description, explanation or prediction of accounting practice based on observations and/or logical reasoning.

Problem 4: Disadvantage of principles-based standards is:

Select one:

Option 1: All of the above.

Option 2: They allow accountants to use professional judgement.

Option 3: They allow mangers to select policies that may not reflect the substance of a transaction.

Option 4: They supply broad guidelines.