Top 80+ Solved Financial Reporting MCQ Questions Answer
Q. Carrying amount of an asset as on 1st April 2015 is Rs. 1500000 and depreciation for theyear 2015 – 2016 is 15000. Fair value of the asset less cost of disposal as on 31 March 2016 is Rs. 120000. Which of the following is the carrying amount at 1st April 2106?
a. 120000
b. 135000
c. 150000
d. 165000
Q. An item of property , plant and equipment that qualifies for recognition as an asset shallbe measured at
a. Cost
b. Market price
c. Replacement value
d. Opportunity cost
Q. Inventory allocated to the construction of fixed asset should be……
a. Capitalized
b. Expensed
c. Reduced from value of inventory
d. None of the above
Q. …………. are the amount of income tax payable in future period for taxable temporarydifferences.
a. Deferred tax asset
b. Deferred tax liability
c. Current tax
d. Tax base
Q. ……………….is the price at which goods or services would be sold separately to acustomer
a. Stand - alone price
b. Contract price
c. Individual price
d. Sales price
Q. ……………..are employee benefits that are payable after the completion of employment
a. Retirement benefits
b. Post employee benefits
c. Share based payments
d. None of the above
Q. As per IFRS15, an agreement between two or more parties that creates enforceable rightand obligation is called….
a. Agreement
b. Contract
c. Performance obligation
d. Liability
Q. Which of the following is not an exception for application of IFRS 15
a. Lease contract
b. Insurance contract
c. None monetary exchanges
d. All the above
Q. A……………………..is the liability of uncertain timing and uncertain amount.
a. Provision
b. Reserve
c. Current liability
d. None of the above
Q. When a lease transfers substantially all the risks and rewards of ownership to lessee, thisis called…..
a. Operating lease
b. Finance lease
c. Hire purchase
d. None of the above
Q. Operating lease is
a. Short term agreement
b. Long term agreement
c. Medium term agreement
d. Any of the above
Q. Finance leases are accounted for in a similar manner to:
a. Cash transaction
b. Credit transaction
c. Lease back transaction
d. Long forgiveness
Q. Which of the following securities do not influence diluted EPS?
a. Equity shares not entitled to dividend, but which may in the future
b. Ordinary preference share
c. Convertible loan stock
d. Share option