Question 1

What term should be used to describe the current economic system in the People's Republic of China?

Accepted Answer

A) Communist 
B) Socialist market 
C) Totalitarian 
D) Free enterprise 
A) Communist 
B) Socialist market 
C) Totalitarian 
D) Free enterprise

Question 2

Why does German accounting practice differ from IFRS?

Accepted Answer

A) German accounting rules are much more specific in most areas than IFRS. 
B) German accounting law is less specific in some respects than IFRS. 
C) Germany has not adopted a policy on accounting standard harmonization. 
D) Germany is not interested in foreign direct investment. 
A) German accounting rules are much more specific in most areas than IFRS. 
B) German accounting law is less specific in some respects than IFRS. 
C) Germany has not adopted a policy on accounting standard harmonization. 
D) Germany is not interested in foreign direct investment.

Question 3

In which of the following cities was the first professional accounting association in the United Kingdom was established in 1853?

Accepted Answer

A) London 
B) Belfast 
C) Edinburgh 
D) Canterbury 
A) London 
B) Belfast 
C) Edinburgh 
D) Canterbury

Question 4

Which of the following is NOT considered a part of GAAP in Mexico?

Accepted Answer

A) MIPA Bulletins 
B) MIPA Interpretations 
C) International Financial Reporting Standards 
D) NBSC Statements on Accounting Practice 
A) MIPA Bulletins 
B) MIPA Interpretations 
C) International Financial Reporting Standards 
D) NBSC Statements on Accounting Practice

Question 5

Which body has the primary responsibility for establishing accounting standards in Japan?

Accepted Answer

A) Japanese Institute of Certified Public Accountants (JICP
A)  
B) Japanese Accounting Association (JA
A)  
C) Japan's Ministry of Finance (MoF) 
D) International Accounting Standards Board (IAS
B)  
A) Japanese Institute of Certified Public Accountants (JICP
A)  
B) Japanese Accounting Association (JA
A)  
C) Japan's Ministry of Finance (MoF) 
D) International Accounting Standards Board (IAS
B)

Question 6

What body regulates trading of corporate securities in the People's Republic of China?

Accepted Answer

A) National People's Congress 
B) State Council 
C) Securities and Exchange Commission 
D) Chinese Security Regulatory Commission 
A) National People's Congress 
B) State Council 
C) Securities and Exchange Commission 
D) Chinese Security Regulatory Commission

Question 7

Financial statements in the United Kingdom are supposed to provide a "true and fair view" of the firm's financial position and results of operations.How does U.K.GAAP define "true and fair view?"

Accepted Answer

A) Objective, free from bias 
B) Statements must comply with accounting standards 
C) Relevant 
D) U.K.GAAP does not specifically define "true and fair view." 
A) Objective, free from bias 
B) Statements must comply with accounting standards 
C) Relevant 
D) U.K.GAAP does not specifically define "true and fair view."

Question 8

How does UK GAAP differ from IFRS with respect to goodwill?

Accepted Answer

A) UK GAAP requires impairment testing annually, whereas IFRS allows amortization. 
B) UK GAAP allows impairment testing annually, whereas IFRS requires amortization. 
C) UK GAAP prohibits amortization, whereas IFRS allows amortization at the firm's choice. 
D) UK GAAP allows amortization at the firm's choice, whereas IFRS prohibits amortization. 
A) UK GAAP requires impairment testing annually, whereas IFRS allows amortization. 
B) UK GAAP allows impairment testing annually, whereas IFRS requires amortization. 
C) UK GAAP prohibits amortization, whereas IFRS allows amortization at the firm's choice. 
D) UK GAAP allows amortization at the firm's choice, whereas IFRS prohibits amortization.

Question 9

The population of Japan is about 1/3 the population of the United States.There are approximately 250,000 CPAs in the U.S.What is the approximate number of CPAs in Japan?

Accepted Answer

A) 250,000 
B) 100,000 
C) 85,000 
D) 15,000 
A) 250,000 
B) 100,000 
C) 85,000 
D) 15,000

Question 10

Companies listed on the stock exchange in Mexico City must provide annual audited financial statements to:

Accepted Answer

A) the public through the national media. 
B) shareholders only. 
C) government only. 
D) shareholders and the government. 
A) the public through the national media. 
B) shareholders only. 
C) government only. 
D) shareholders and the government.

Question 11

In what way does the public accounting profession in the United Kingdom differ from the profession in the United States?

Accepted Answer

A) Public accountants in the U.K.may not sign audit reports. 
B) Auditors in the U.K.do not need to be independent from their audit clients. 
C) Public accountants in the U.K.are paid by the government for their audit services. 
D) Public accountants in the U.K.are not required to have a university education. 
A) Public accountants in the U.K.may not sign audit reports. 
B) Auditors in the U.K.do not need to be independent from their audit clients. 
C) Public accountants in the U.K.are paid by the government for their audit services. 
D) Public accountants in the U.K.are not required to have a university education.

Question 12

What is Germany's position with respect to accounting standards harmonization?

Accepted Answer

A) IFRS should be used as long as they conform to directives set by the European Union. 
B) German GAAP is not influenced by IFRS. 
C) Accounting standard harmonization is of little interest to German accounting regulators. 
D) Germany has no mechanism for ensuring that accounting standards are consistent with IFRS. 
A) IFRS should be used as long as they conform to directives set by the European Union. 
B) German GAAP is not influenced by IFRS. 
C) Accounting standard harmonization is of little interest to German accounting regulators. 
D) Germany has no mechanism for ensuring that accounting standards are consistent with IFRS.

Question 13

Why do Mexican accounting standards require all nonmonetary assets and liabilities to be restated in terms of purchasing power of the Mexican currency?

Accepted Answer

A) To properly reflect exchange rate gains and losses in the financial statement 
B) In order to reflect the historical cost of the assets and financing associated with these assets 
C) To reflect the high rates of inflation that Mexico has experienced 
D) Because historical costs overstate the value of the assets and corresponding claims on resources 
A) To properly reflect exchange rate gains and losses in the financial statement 
B) In order to reflect the historical cost of the assets and financing associated with these assets 
C) To reflect the high rates of inflation that Mexico has experienced 
D) Because historical costs overstate the value of the assets and corresponding claims on resources

Question 14

What set of standards must companies listed on the stock exchange in the United Kingdom use for consolidated financial statements?

Accepted Answer

A) U.K.GAAP 
B) U.K.GAAP or U.S.GAAP 
C) IFRS adopted by the European Union 
D) There is no specific requirement. 
A) U.K.GAAP 
B) U.K.GAAP or U.S.GAAP 
C) IFRS adopted by the European Union 
D) There is no specific requirement.

Question 15

IAS 38 requires the capitalization of development expenses in R&D.How does U.K.GAAP handle such development expenses?

Accepted Answer

A) Expensed right away 
B) Permits capitalization 
C) Amortized at the firm's choice 
D) There is no specific requirement. 
A) Expensed right away 
B) Permits capitalization 
C) Amortized at the firm's choice 
D) There is no specific requirement.

Question 16

In Japan, what is the most commonly used ending date for accounting periods?

Accepted Answer

A) December 31 
B) March 31 
C) June 30 
D) September 30 
A) December 31 
B) March 31 
C) June 30 
D) September 30

Question 17

Why do German companies willingly take a conservative position in calculating income?

Accepted Answer

A) To minimize tax 
B) To keep employees from asking for higher wages 
C) To report stable income over time for dividend purposes 
D) All of the above 
A) To minimize tax 
B) To keep employees from asking for higher wages 
C) To report stable income over time for dividend purposes 
D) All of the above

Question 18

Which of the following are the requirements of the laws of Sino-foreign joint ventures?

Accepted Answer

A) Tax returns of joint ventures must be audited by Chinese CPAs. 
B) Annual financial reports of joint ventures must be audited by registered Chinese CPAs. 
C) Capital contributions by investors must be verified by Chinese CPAs. 
D) All of the above statements are true about Chinese joint ventures. 
A) Tax returns of joint ventures must be audited by Chinese CPAs. 
B) Annual financial reports of joint ventures must be audited by registered Chinese CPAs. 
C) Capital contributions by investors must be verified by Chinese CPAs. 
D) All of the above statements are true about Chinese joint ventures.

Question 19

Unlike IFRS, under Japanese GAAP, inventories may be valued at:

Accepted Answer

A) cost. 
B) market. 
C) lower of cost or net realizable value. 
D) lower of cost or market. 
A) cost. 
B) market. 
C) lower of cost or net realizable value. 
D) lower of cost or market.

Question 20

The People's Republic of China (PRC) made economic reforms in the 1980s to encourage international trade.What impact have these reforms made on accounting?

Accepted Answer

A) Increased the demand for accounting information from investors 
B) Increased the supply of publicly available accounting information from Chinese companies 
C) Changed the nature of auditing in the PRC 
D) All of the above are true. 
A) Increased the demand for accounting information from investors 
B) Increased the supply of publicly available accounting information from Chinese companies 
C) Changed the nature of auditing in the PRC 
D) All of the above are true.

What term should be used to describe the current economic system in the People's Republic of China?

Why does German accounting practice differ from IFRS?

In which of the following cities was the first professional accounting association in the United Kingdom was established in 1853?

Which of the following is NOT considered a part of GAAP in Mexico?

Which body has the primary responsibility for establishing accounting standards in Japan?

What body regulates trading of corporate securities in the People's Republic of China?

Financial statements in the United Kingdom are supposed to provide a "true and fair view" of the firm's financial position and results of operations.How does U.K.GAAP define "true and fair view?"

How does UK GAAP differ from IFRS with respect to goodwill?

The population of Japan is about 1/3 the population of the United States.There are approximately 250,000 CPAs in the U.S.What is the approximate number of CPAs in Japan?

Companies listed on the stock exchange in Mexico City must provide annual audited financial statements to:

In what way does the public accounting profession in the United Kingdom differ from the profession in the United States?

What is Germany's position with respect to accounting standards harmonization?

Why do Mexican accounting standards require all nonmonetary assets and liabilities to be restated in terms of purchasing power of the Mexican currency?

What set of standards must companies listed on the stock exchange in the United Kingdom use for consolidated financial statements?

IAS 38 requires the capitalization of development expenses in R&D.How does U.K.GAAP handle such development expenses?

In Japan, what is the most commonly used ending date for accounting periods?

Why do German companies willingly take a conservative position in calculating income?

Which of the following are the requirements of the laws of Sino-foreign joint ventures?

Unlike IFRS, under Japanese GAAP, inventories may be valued at:

The People's Republic of China (PRC) made economic reforms in the 1980s to encourage international trade.What impact have these reforms made on accounting?

Introduction to International Accounting

Worldwide Accounting Diversity

International Convergence of Financial Reporting

International Financial Reporting Standards: Part I

International Financial Reporting Standards: Part II

Foreign Currency Transactions and Hedging Foreign Exchange Risk

Translation of Foreign Currency Financial Statements

Additional Financial Reporting Issues

Analysis of Foreign Financial Statements

International Taxation

International Transfer Pricing

Strategic Accounting Issues in Multinational Corporations

Comparative International Auditing and Corporate Governance

International Corporate Social Reporting

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Exam 6: Comparative Accounting

What term should be used to describe the current economic system in the People's Republic of China?

Why does German accounting practice differ from IFRS?

In which of the following cities was the first professional accounting association in the United Kingdom was established in 1853?

Which of the following is NOT considered a part of GAAP in Mexico?

Which body has the primary responsibility for establishing accounting standards in Japan?

What body regulates trading of corporate securities in the People's Republic of China?

Financial statements in the United Kingdom are supposed to provide a "true and fair view" of the firm's financial position and results of operations.How does U.K.GAAP define "true and fair view?"

How does UK GAAP differ from IFRS with respect to goodwill?

The population of Japan is about 1/3 the population of the United States.There are approximately 250,000 CPAs in the U.S.What is the approximate number of CPAs in Japan?

Companies listed on the stock exchange in Mexico City must provide annual audited financial statements to:

In what way does the public accounting profession in the United Kingdom differ from the profession in the United States?

What is Germany's position with respect to accounting standards harmonization?

Why do Mexican accounting standards require all nonmonetary assets and liabilities to be restated in terms of purchasing power of the Mexican currency?

What set of standards must companies listed on the stock exchange in the United Kingdom use for consolidated financial statements?

IAS 38 requires the capitalization of development expenses in R&D.How does U.K.GAAP handle such development expenses?

In Japan, what is the most commonly used ending date for accounting periods?

Why do German companies willingly take a conservative position in calculating income?

Which of the following are the requirements of the laws of Sino-foreign joint ventures?

Unlike IFRS, under Japanese GAAP, inventories may be valued at:

The People's Republic of China (PRC) made economic reforms in the 1980s to encourage international trade.What impact have these reforms made on accounting?

Introduction to International Accounting

Worldwide Accounting Diversity

International Convergence of Financial Reporting

International Financial Reporting Standards: Part I

International Financial Reporting Standards: Part II

Foreign Currency Transactions and Hedging Foreign Exchange Risk

Translation of Foreign Currency Financial Statements

Additional Financial Reporting Issues

Analysis of Foreign Financial Statements

International Taxation

International Transfer Pricing

Strategic Accounting Issues in Multinational Corporations

Comparative International Auditing and Corporate Governance

International Corporate Social Reporting

Filters