INTACC

25問 • 1年前

問題一覧

Which of the following is not a major characteristic of a plant asset? A. possesses physical substance B. acquired for resale C. acquired for use D. long-term in nature

The cost of land does not include A. costs of grading, filling, draining, and clearing B. costs of removing old buildings C. costs of improvements with limited lives D. special assessments

The cost of a non-monetary asset acquired in exchange for another non-monetary assets and the exchange has commercial substance is usually recorded at A. the fair value of the asset given up, and a gain or loss is recognized B. the fair value of the asset given up, and a gain but not a loss may be recognized C. the fair value of the asset received if it is equally reliable as the fair value of the asset given up D. either the fair value of the asset given up or the asset received, whichever one results in the largest gain (smallest loss) to the company

When a closely held corporation issues preference shares for land, the land should be recorded at the A. total par value of the shares issued B. total book value of the shares issued C. total liquidating value of the shares issued D. fair value of the land

Which is not an essential characteristic of property, plant and equipment? A. The property, plant and equipment are tangible assets. B. The property, plant and equipment are used in production or supply of goods and services, for rental purposes and for administrative purposes. C. The property, plant and equipment are expected to be used over a period of more than one year. D. The property, plant and equipment are subjected to depreciation

An item of property, plant and equipment shall be recognized as an asset when I.It is probable that future economic benefits associated with the asset will flow to the enterprise. II. The cost of the asset to the enterprise can be measured reliably A. I only B. II only C. Both I and II D. Neither I nor II

Government grants should not be recognized until there is a reasonable assurance that: A. an entity will comply with the conditions attaching to them B. the grants will be received C. an entity will comply with the conditions attaching to them and the grants will be received D. an entity will comply with the conditions attaching to them or the grants will be received

2021, Entity X received a P2,000,000 grant from the government with the condition that the money shall be used to construct a building. Construction was started in 2021 and was completed on December 31, 2022 for a total construction cost of P6,000,000. The building is estimated to have a useful life of 10 years. Which of the following statements is correct? A. The income from the government grant in 2021 is P200,000. B. The income from the government grant in 2022 is P200,000. C. The income from the government grant in 2023 is PO. D. The income from the government grant in 2024 is P200,000.

Construction of a qualifying asset is started on April 1 and finished on December 1. The fraction used to multiply an expenditure made on April 1 to find weighted-average accumulated expenditures is A. 8/8 B. 8/12 C. 9/12 D. 11/12

the qualifying assets is financed by the general borrowing, the capitalizable borrowing cost is equal to A. actual borrowing cost incurred B. total expenditures on the asset multiplied by a capitalization rate C. average expenditures on the asset multiplied by a capitalization rate or actual borrowing cost incurred, D. average expenditures on the asset multiplied by a capitalization rate or actual borrowing cost, whichever

Which of the following may not be considered a "qualifying asset"? A. a power generation plant that normally takes two years to construct B. an expensive private jet that can be purchased from a local vendor C. a toll bridge that usually takes more than a year to build D. a ship that normally takes one to two years to complete

Which of the following statements is true? A. borrowing costs are generally capitalized except when they do not relate to acquisition or construction of a qualifying asset. B. borrowing costs may or may not be capitalized depending on the accounting policy chosen by an entity. C. exchange differences are ignored when determining borrowing costs. D. borrowing costs are generally expensed except when they are avoidable and relate to acquisition or construction of a qualifying asset

the qualifying asset is financed by specific borrowing, the capitalizable borrowing cost is equal to A. actual borrowing cost incurred B. actual borrowing cost incurred up to completion of asset. C. actual borrowing cost incurred up to completion of assets minus any investment income from the temporary investment of the borrowing D. zero

Where there is a long aging or maturation process after harvest, the accounting for such products should be dealt with by A. PAS 41, Agriculture B. PAS 2, Inventories C. PAS 16, Property, Plant, AND EQUIPMENT

Generally speaking, biological assets relating to agricultural activity should be measured using A. historical cost B . historical cost less depreciation less impairment C. a fair value approach D. net realizable value

. Which of the following costs are not included in costs to sell? A. commissions to brokers and dealers B. levies by regulatory agencies C. transfer taxes and duties. D. transport and other costs necessary to get the assets to a market

When intangible assets are self-generated, costs incurred in the research phase are A. capitalized B. capitalized only to extent of the limits provided under the standards. C. expensed immediately D. expensed or capitalized, as a matter of accounting policy choice and professional judgment

When intangible assets are self-generated, costs incurred in the development phase are A. capitalized B. capitalized only to extent of the limits provided under the standards C. expensed or capitalized, as a matter of accounting policy choice and professional judgment D. expersed immediately, unless they meet all of the conditions for capitalization under PAS 38

Changes in amortization method, useful life, and residual value are changes in accounting estimates and are accounted for A. prospectively B. retrospectively C. a orb D. not accounted

According to PAS 38, intangible assets are initially recognized at A. fair value B. cost C. fair value less costs to sell D. any of these as a matter of accounting policy choice

The following properties fall under the definition of investment property, except A. land held for long-term capital appreciation. B. property occupied by an employee paying market rent C. land held for a currently undetermined use D. a building owned by an entity and leased out under an operating lease

Subsequent to initial recognition, investment property shall be measured at A. fair value B. cost less accumulated depreciation and any accumulated impairment losses. C. either fair value or cost less accumulated depreciation and any accumulated impairment losses D. either fair value or cost

Under PAS 36 Impairment of Assets, which of the following terms best describes the higher of an asset's fair value less costs of disposal and its value in use? A. recoverable amount B. revalued amount C. depreciable amount D. carrying amount

Under PAS 36 impairment of Assets, which of the following statements best describes 'value in use? A. the present value of estimated future cash flows expected to arise from the continuing use of an asset and from its ultimate disposal B. the amount of cash and cash equivalents that could currently be obtained by selling an asset in an orderly disposal C. the net amount which an entity expects to obtain for an asset at the end of its useful life D. the amount at which an asset could be exchanged between knowledgeable, willing parties in an arm's length transaction

Under PAS 36 Impairment of Assets, which of the following statements best describes the term 'impairment loss'? A. the removal of an asset from an entity's statement of financial position B. the amount by which the carrying amount of an asset exceeds its recoverable amount C. the systematic allocation of an asset's cost less residual value over its useful life D. the amount by which the recoverable amount of an asset exceeds its carrying amount

governance

Jan Rick Trinidad · 40問 · 2年前

governance