Financial Accounting Exam 2 - Multiple
Choice Questions and Answers
Updated 2026-2027
AnBautoBmanufacturerBwouldBclassifyBvehiclesBinBvariousBstagesBofBproductionBas:
a)BmerchandiseBinventory.
B
b)BfinishedBgoods.
B
c)BworkBinBprocess.
B
d)BrawBmaterials.B-BAnswerBc)BworkBinBprocess.
WhichBofBtheBfollowingBisBnotBaBcommonBcostBflowBassumptionBusedBinBcostingBinve
ntory?
a)BMiddle-in,Bfirst-out
B
b)BFirst-in,Bfirst-out
B
c)BLast-in,Bfirst-out
B
d)BAverageBcostB-BAnswerBa)BMiddle-in,Bfirst-out
DisclosuresBaboutBinventoryBshouldBincludeBeachBofBtheBfollowingBexceptBthe:
a)BmajorBinventoryBclassifications.
, b)BbasisBofBaccounting.
B
c)BcostingBmethod.
B
d)BquantityBofBinventory.B-BAnswerBd)BquantityBofBinventory.
TheBrequirementsBforBaccountingBforBandBreportingBofBinventoriesBunderBIFRS,Bcompa
redBtoBGAAP,BtendBtoBbeBmore:
a)Bdetailed.
B
b)Brules-based.
B
c)Bprinciples-based.
B
d)BfullBofBdisclosureBrequirements.B-BAnswerBc)Bprinciples-based.
InternalBcontrolsBareBconcernedBwith:
a)BsafeguardingBassets.
B
b)BtheBextentBofBgovernmentBregulations.
B
c)BpreparingBincomeBtaxBreturns.
B
d)BonlyBmanualBsystemsBofBaccounting.B-BAnswerBa)BsafeguardingBassets.
ChecksBreceivedBthroughBtheBmailBshould:
Choice Questions and Answers
Updated 2026-2027
AnBautoBmanufacturerBwouldBclassifyBvehiclesBinBvariousBstagesBofBproductionBas:
a)BmerchandiseBinventory.
B
b)BfinishedBgoods.
B
c)BworkBinBprocess.
B
d)BrawBmaterials.B-BAnswerBc)BworkBinBprocess.
WhichBofBtheBfollowingBisBnotBaBcommonBcostBflowBassumptionBusedBinBcostingBinve
ntory?
a)BMiddle-in,Bfirst-out
B
b)BFirst-in,Bfirst-out
B
c)BLast-in,Bfirst-out
B
d)BAverageBcostB-BAnswerBa)BMiddle-in,Bfirst-out
DisclosuresBaboutBinventoryBshouldBincludeBeachBofBtheBfollowingBexceptBthe:
a)BmajorBinventoryBclassifications.
, b)BbasisBofBaccounting.
B
c)BcostingBmethod.
B
d)BquantityBofBinventory.B-BAnswerBd)BquantityBofBinventory.
TheBrequirementsBforBaccountingBforBandBreportingBofBinventoriesBunderBIFRS,Bcompa
redBtoBGAAP,BtendBtoBbeBmore:
a)Bdetailed.
B
b)Brules-based.
B
c)Bprinciples-based.
B
d)BfullBofBdisclosureBrequirements.B-BAnswerBc)Bprinciples-based.
InternalBcontrolsBareBconcernedBwith:
a)BsafeguardingBassets.
B
b)BtheBextentBofBgovernmentBregulations.
B
c)BpreparingBincomeBtaxBreturns.
B
d)BonlyBmanualBsystemsBofBaccounting.B-BAnswerBa)BsafeguardingBassets.
ChecksBreceivedBthroughBtheBmailBshould:
