Test Bank – Modern Advanced Accounting in Canada (10th Edition, Herauf & Mbagwu) – Verified Chapters 1–12

TEST BANK For Modern Advanced
Accounting In Canada 10th Edition By
Darrell Herauf, Chima Mbagwu Verified
Chapter's 1 - 12 | Complete
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1-1

,TABLE OF CONTENTS
A A




CHAPTERA1AConceptualAandACaseAAnalysisAFrameworksAforAFinancialAReporting


CHAPTERA2AInvestmentsAinAEquityASecurities
a
CHAPTERA3ABusinessACombinations
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CHAPTERA4AConsolidationAofANon-WhollyAOwnedASubsidiaries
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CHAPTERA5AConsolidationASubsequentAtoAAcquisitionADate
b
CHAPTERA6AIntercompanyAInventoryAandALandAProfits
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CHAPTERA7A(A)AIntercompanyAProfitsAinADepreciableAAssetsA(B)AIntercompanyABondholdings


CHAPTERA8AConsolidatedACashAFlowsAandAChangesAinAOwnership


CHAPTERA9AOtherAConsolidationAReportingAIssues


CHAPTERA10AForeignACurrencyATransactions


CHAPTERA11ATranslationAandAConsolidationAofAForeignAOperations


CHAPTERA12AAccountingAforANot-for-ProfitAandAPublicASectorAOrganizations




1-2

, Chapter 01 A


AConceptual and Case Analysis Frameworks for Financial Reportin
A A A A A A A


g

MultipleAChoiceAQuestions


1. WhichAofAtheAfollowingAwouldANOTAbeAaAreasonAtoAobtainAaAgreaterAunderstandingA
ofAaccountingApracticesAinAotherAnations?
a
A. FinancialAresultsAareAdisclosedAinAdifferentAcurrencies.
B. OneAneedsAtoAbeAawareAofAdifferingAdisclosureArequirementsAfromAnationAtoAnation,AasAth
isAimpactsAtheApreparationAofAfinancialAstatements.
i
C. Income-

areAnotApermittedAinANorthAAmerica.
t h
smoothingAmayAhaveAaffectedAaAforeignAsubsidiary'sAresults;AsuchAsmoothingApracticesA

D. DeparturesAfromAtheAhistoricalAcostAprincipleAmayAbeApossibleAinAotherAnations.
u
Accessibility:AKeyboardANavigationA Bloo
ms:ARemember
Difficulty:AEasy
LearningAObjective:A01-
b
01ADescribeAandAapplyAtheAconceptualAframeworkAforAfinancialAreporting.A Topic:A01-
01ATheAConceptualAFrameworkAforAFinancialAReporting
m
2. WhichAofAtheAfollowingAwouldAbeAmostAaffectedAbyAfinancialAstatementsAbeingAprepare
dAunderAdifferentAaccountingAprinciples?
A. ReducedAcomparability.
B. ReducedAreliability.
C. IncreasedAcomplexity.
D. InaccurateAassetAvaluations.


Accessibility:AKeyboardANavigationA Bloo
ms:ARemember
Difficulty:AEasy
LearningAObjective:A01-
01ADescribeAandAapplyAtheAconceptualAframeworkAforAfinancialAreporting.A Topic:A01-
01ATheAConceptualAFrameworkAforAFinancialAReporting




1-3

, 3. TheACPAACanadaAHandbookA-
AAccountingAisAtheAhandbookAofACanadianAaccountingAstandards.AWhyAdoAcompaniesAinA

CanadaAensureAthatAtheirAfinancialAreportingAisAconsistentAwithACanadianAGAAP?
A. TheirAbankArequiresAthemAtoAdoAso.
B. TheirAauditorsArequireAthemAtoAdoAso.
C. ReportingAunderAtheACPAACanadaAHandbookA-
AAccountingAisArequiredAbyApublicAcompanies'AboardsAofAdirectors.

D. ComplianceAwithAtheACPAACanadaAHandbookA-
AAccountingApronouncementsAisAusuallyArequiredAbyAmanyAlegalAstatutes.


a
Accessibility:AKeyboardANavigationA Bloo
ms:ARemember
Difficulty:AEasy
LearningAObjective:A01-
i h
01ADescribeAandAapplyAtheAconceptualAframeworkAforAfinancialAreporting.A Topic:A01-
01ATheAConceptualAFrameworkAforAFinancialAReporting
t
4. WhichAdecisionAhasACanadaAmadeAwithArespectAtoAfinancialAreportingAforAprivat
u
eAenterprises?
A. ToAadoptAtheAIFRSAstandardsAforAsmallAandAmedium-sizedAenterprises.
B. ToAretainAtheAcurrentAstandards.
C. ToAlookAtoAUSAGAAPAforAstandards.
b
D. ToAdevelopAandAmaintainAitsAownAstandardsAforAprivateAenterprises.


Accessibility:AKeyboardANavigationA Bloo
m
ms:ARemember
Difficulty:AEasy
LearningAObjective:A01-
02ADescribeAhowAaccountingAstandardsAinACanadaAareAtailoredAtoAdifferentAtypesAofAorganizations.A Topic:A01-
05AGAAPAforAPrivateAEnterprises

5. StartingAinA2011,AwhatAisAtheAdefinitionAofAaAprivateAenterpriseA(PE)AunderACanadianAGAAP?
A. AAcorporationAthatAhasAnoApublicAshareholders.
B. AAcorporationAthatAhasAlessAthanA500AshareholdersAandAisAnotAlistedAonAaAstockAexchange.
C. AAcorporationAwhichAisAnotAprofitAoriented.
D. AAprofitAorientedAenterpriseAthatAhasAnoneAofAitsAissuedAandAoutstandingAfinancialAinstr
umentsAtradedAinAaApublicAmarketAandAdoesAnotAholdAassetsAinAaAfiduciaryAcapacityAforAaAbr
oadAgroupAofAoutsidersAasAoneAofAitsAprimaryAbusinesses.

Accessibility:AKeyboardANavigationA Bloo
ms:ARemember
Difficulty:AEasy
LearningAObjective:A01-
02ADescribeAhowAaccountingAstandardsAinACanadaAareAtailoredAtoAdifferentAtypesAofAorganizations.A Topic:A01-
05AGAAPAforAPrivateAEnterprises




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