QUESTION BANK 10 CORRECT DETAILED
ANSWERS (VERIFIED ANSWERS) GRADED A+
PAS 34 Interim Financial Reporting
a. requires listed entities to provide interim financial reports
b. requires listed entities and those in the process of enlisting their securities to provide
interim financial reports
c. requires listed entities and those in the process of enlisting their securities and non-
SMEs to provide interim financial reports
d. does not state which entities are required to provide interim financial reports. - Right
Ansa -d. does not state which entities are required to provide interim financial reports.
— PAS 34 does not mandate which entities are required to publish interim financial
reports, how frequently, or how soon after the end of an interim period.
PAS 34 Interim Financial Reporting
a. encourages publicly-listed entities to at least provide semi-annual interim financial
reports and publish them not later than 60 days after the end of the interim period.
b. encourages publicly-listed entities to at least provide quarterly interim financial
reports and publish them not later than 45 days after the end of the interim period.
c. requires publicly-listed entities to at least provide semi-annual interim financial reports
and publish them not later than 60 days after the end of the interim period.
d. requires publicly-listed entities to at least provide quarterly interim financial reports
and publish them not later than 45 days after the end of the interim period. - Right Ansa
-a. encourages publicly-listed entities to at least provide semi-annual interim financial
reports and publish them not later than 60 days after the end of the interim period.
— Stated under PAS 34 paragraph 1.
PAS 34 shall be applied by
I. entities which are required by the government or other entities to provide interim
financial reports
II. those who choose to provide interim financial reports.
a. I only
b. I and II
,c. II only
d. Neither I nor II - Right Ansa -b. I and II
— Explained under PAS 34 paragraph 1
4. Which standard applies to the following?
(Item #1) condensed financial statements;
(Item #2) complete set of financial statements?
a. PAS 34, PAS 1
b. PAS 24, PAS 1
c. PAS 1, PAS 34
d. PFRS for SMEs, PAS 1 - Right Ansa -a. PAS 34, PAS 1
— PAS 34 paragraph 8 provides that an interim financial report shall include condensed
financial statements.
If an entity opts to present complete set of financial statements during an interim period,
it shall apply
a. PAS 34
b. PAS 1
c. PFRS 1
d. PFRS 8 - Right Ansa -b. PAS 1
— PAS 1 is all about the presentation of financial statements. PAS 34 will only be then
applied if it talks about condensed financial statements.
Which of the following statements is incorrect?
a. In the interest of relevance and timeliness, less information is normally provided in a
condensed set of interim financial statements.
b. Users of interim financial statements are assumed to have access to the most recent
annual financial report.
c. Only information that is significant to the understanding of changes in financial
position and performance of an entity since the end of the last annual reporting are
included in the interim financial report.
d. An entity shall not provide a complete set of financial statements in its interim
financial reporting. Only condensed financial statements shall be provided. - Right Ansa
, -d. An entity shall not provide a complete set of financial statements in its interim
financial reporting. Only condensed financial statements shall be provided.
— If an entity publishes a set of condensed financial statements in its interim financial
report, those condensed statements shall include, at a minimum, each of the headings
and subtotals that were included in the entity's most recent annual financial statements
and the selected explanatory notes as required by PAS 34.
Which of the following statements is incorrect?
a. Estimates are used to a greater extent during interim periods as compared to annual
reporting. b. The comparative interim statement of financial position is dated as of the
end of the immediately preceding annual financial year. The comparative financial
statements for the other financial statements are prepared on a year-to-date basis.
c. Statements of comprehensive income are prepared covering the interim period and a
year-to-date basis; comparative statements of comprehensive income are provided for
similar periods.
d. No additional information is encouraged by PAS 34 if the entity's business is highly
seasonal. - Right Ansa -d. No additional information is encouraged by PAS 34 if the
entity's business is highly seasonal.
— PAS 34 paragraph 21 states that entities whose business is highly seasonal are
encouraged (but not required) to report financial information for the twelve months up to
the end of the interim period, and comparative information for the prior twelve-month
period.
Which of the following statements is incorrect?
a. The same accounting policies are followed during the interim period as those
followed in annual reporting, except for accounting policy changes made after the date
of the most recent annual financial statements that are to be reflected in the next annual
financial statements.
b. Costs that do not benefit other interim periods are recognized in full in the interim
period such costs were incurred.
c. Measurements for interim reporting purposes should be made on a year-to-date
basis, so that the frequency of the entity's reporting (annual, half-yearly, or quarterly)
does not affect the measurement of its annual results.
d. A change in accounting estimate during an interim period is accounted for
prospectively by restating financial statements reported in previous interim periods but
not the most recent annual financial statement. - Right Ansa -d. A change in accounting
ANSWERS (VERIFIED ANSWERS) GRADED A+
PAS 34 Interim Financial Reporting
a. requires listed entities to provide interim financial reports
b. requires listed entities and those in the process of enlisting their securities to provide
interim financial reports
c. requires listed entities and those in the process of enlisting their securities and non-
SMEs to provide interim financial reports
d. does not state which entities are required to provide interim financial reports. - Right
Ansa -d. does not state which entities are required to provide interim financial reports.
— PAS 34 does not mandate which entities are required to publish interim financial
reports, how frequently, or how soon after the end of an interim period.
PAS 34 Interim Financial Reporting
a. encourages publicly-listed entities to at least provide semi-annual interim financial
reports and publish them not later than 60 days after the end of the interim period.
b. encourages publicly-listed entities to at least provide quarterly interim financial
reports and publish them not later than 45 days after the end of the interim period.
c. requires publicly-listed entities to at least provide semi-annual interim financial reports
and publish them not later than 60 days after the end of the interim period.
d. requires publicly-listed entities to at least provide quarterly interim financial reports
and publish them not later than 45 days after the end of the interim period. - Right Ansa
-a. encourages publicly-listed entities to at least provide semi-annual interim financial
reports and publish them not later than 60 days after the end of the interim period.
— Stated under PAS 34 paragraph 1.
PAS 34 shall be applied by
I. entities which are required by the government or other entities to provide interim
financial reports
II. those who choose to provide interim financial reports.
a. I only
b. I and II
,c. II only
d. Neither I nor II - Right Ansa -b. I and II
— Explained under PAS 34 paragraph 1
4. Which standard applies to the following?
(Item #1) condensed financial statements;
(Item #2) complete set of financial statements?
a. PAS 34, PAS 1
b. PAS 24, PAS 1
c. PAS 1, PAS 34
d. PFRS for SMEs, PAS 1 - Right Ansa -a. PAS 34, PAS 1
— PAS 34 paragraph 8 provides that an interim financial report shall include condensed
financial statements.
If an entity opts to present complete set of financial statements during an interim period,
it shall apply
a. PAS 34
b. PAS 1
c. PFRS 1
d. PFRS 8 - Right Ansa -b. PAS 1
— PAS 1 is all about the presentation of financial statements. PAS 34 will only be then
applied if it talks about condensed financial statements.
Which of the following statements is incorrect?
a. In the interest of relevance and timeliness, less information is normally provided in a
condensed set of interim financial statements.
b. Users of interim financial statements are assumed to have access to the most recent
annual financial report.
c. Only information that is significant to the understanding of changes in financial
position and performance of an entity since the end of the last annual reporting are
included in the interim financial report.
d. An entity shall not provide a complete set of financial statements in its interim
financial reporting. Only condensed financial statements shall be provided. - Right Ansa
, -d. An entity shall not provide a complete set of financial statements in its interim
financial reporting. Only condensed financial statements shall be provided.
— If an entity publishes a set of condensed financial statements in its interim financial
report, those condensed statements shall include, at a minimum, each of the headings
and subtotals that were included in the entity's most recent annual financial statements
and the selected explanatory notes as required by PAS 34.
Which of the following statements is incorrect?
a. Estimates are used to a greater extent during interim periods as compared to annual
reporting. b. The comparative interim statement of financial position is dated as of the
end of the immediately preceding annual financial year. The comparative financial
statements for the other financial statements are prepared on a year-to-date basis.
c. Statements of comprehensive income are prepared covering the interim period and a
year-to-date basis; comparative statements of comprehensive income are provided for
similar periods.
d. No additional information is encouraged by PAS 34 if the entity's business is highly
seasonal. - Right Ansa -d. No additional information is encouraged by PAS 34 if the
entity's business is highly seasonal.
— PAS 34 paragraph 21 states that entities whose business is highly seasonal are
encouraged (but not required) to report financial information for the twelve months up to
the end of the interim period, and comparative information for the prior twelve-month
period.
Which of the following statements is incorrect?
a. The same accounting policies are followed during the interim period as those
followed in annual reporting, except for accounting policy changes made after the date
of the most recent annual financial statements that are to be reflected in the next annual
financial statements.
b. Costs that do not benefit other interim periods are recognized in full in the interim
period such costs were incurred.
c. Measurements for interim reporting purposes should be made on a year-to-date
basis, so that the frequency of the entity's reporting (annual, half-yearly, or quarterly)
does not affect the measurement of its annual results.
d. A change in accounting estimate during an interim period is accounted for
prospectively by restating financial statements reported in previous interim periods but
not the most recent annual financial statement. - Right Ansa -d. A change in accounting
