1. _______________ are the financial statements of a group of companies.
Correct : B. Group Accounts
2. ___________ establishes principles for presenting and preparing
consolidated financial statements when an entity controls one or more other entities.
Correct : C. IFRS 10
3. A _________ includes the income and expenses of a subsidiary in the
consolidated financial statements from the date it gains control until the date when the reporting entity ceases to control the subsidiary.
Correct : B. Reporting entity
4. ______________ is an asset representing the future economic benefits
arising from other assets acquired in a business combination that are not individually identified and separately recognized.
Correct : A. Goodwill
5. ___________ transactions are transactions between entities within a group
of entities and that group is consolidated into one set of Consolidated Financial Statements.
Correct : B. Intra-group
6. The _____________ account appear in the Balance Sheet of the Holding
company at the time of consolidation.
Correct : C. share premium
7. __________ is the corporate management term for the act of reorganizing
the legal, ownership, operational or other structures of a company for the purpose of making it more profitable or better organized for its present needs.
Correct : B. Restructuring
8. A merger is defined as the joining of two or more companies to form a
single legal entity.
Correct : C. Merger
9. All business combinations must be treated as _________ for accounting
purposes.
Correct : A. Acquisition
10. In external reconstruction, the liquidated company is called
______________________.
Correct : B. Vendor Company
11. The tax effect on the timing differences is termed as ___________________.
Correct : C. Deferred Tax
12. The objective of ________________is to prescribe, for lessees and lessors,
the appropriate accounting policies and disclosures to apply in relation to finance and operating leases.
Correct : B. IAS 17
13. In finance lease agreement, the option for the lessee to purchase the
property or equipment at a specific price is known as __________________________.
Correct : A. Balloon
14. ________________ provides information to the management regarding
human resource cost and value.
Correct : B. Human Resource Accounting
15. ______________________is the assistance of finance professionals to settle
disputes concerning allegations, fraudulence, suspicion of fraud and misconduct in business.
Correct : A. Forensic accounting
16. ____________ aims to measure and inform the general public about the
social welfare activities undertaken by the enterprise and their effects on the society
Correct : C. Social Audit
17. ________________ also called green accounting.
Correct : C. Environmental accounting
18. ______________manages business finances effectively, make the right
decisions and maximize your profits.
Correct : D. Proactive Accounting
19. _____________ refers to the process of adjusting the financial statements of
a company to show the real financial position of the company during the inflationary period.
Correct : B. Inflation Accounting
20. Increase in the price of various goods and services over a period of time is
known as ___________________
Correct : D. Inflation
21. During inflation the purchasing power of money ___________________.
Correct : A. Increases
22. Price for changes accounting can be done by the following
method__________________.
Correct : C. Both a and b
23. _________________Accounting deals with employees and management in
an organization.
Correct : B. Human Resource
24. Forensic Accounting is very much useful to _____________ industry.
Correct : C. Insurance
25. A branch of accounting which decodes the human nature to hide failures,
conceal problems, defend wrong decisions, and cover up mistakes is known as___________________.
Correct : D. Forensic Accounting
26. A ______________Accounting signifies the activities related to the
conservation of Environment.
Correct : C. Environment
27. The main elements of environmental accounting
are______________________.
Correct : A. Environmental Conservation costs and activities and environmental benefits
28. What is the classical view of management's social responsibility?
Correct : B. To maximize profit
29. __________ is when a firm engages in social actions because of its obligation to meet certain economic and legal responsibilities
Correct : A. SocialObligation
30. The recognition of the close link between an organisation's decisions and
activities and its impact on the natural environment is called __________.
Correct : B. Greening of management
31. The stakeholder view of social responsibility states that organisations must
respond to the needs of
Correct : C. all interested parties
32. _____________ establishes the principles that an entity applies when
reporting information about the nature, amount, timing and uncertainty of revenue and cash flows from a contract with a customer.
Correct : C. IFRS 15
33. The objective of _________ is to establish the principles that an entity shall
apply to report useful information to users of financial statements about the nature, amount, timing and uncertainty of revenue and cash flows arising from a contract with a customer.
Correct : A. Ind AS 115
34. _________is about the measurement of the items in the consolidated
financial statements, such as goodwill, non-controlling interest, etc.
Correct : D. IFRS 3
35. Goodwill on amalgamation can rise only if ________Method is followed.
Correct : C. Purchase
36. _____________ is the process of significantly changing a company's
business model, management team or financial structure to address challenges and increase shareholder value.
Correct : A. Corporate restructuring
37. A merger of two or more companies that compete in the same industry.
Correct : A. Horizontal
38. Merger where two companies are in the same or related industries but do not
offer the same products, but related products and may share similar distribution channels, providing synergies for the merger is known as ____________ Merger.
Correct : B. Co generic
39. A form of corporate restructuring in which the entity's business operations
are segregated into one or more components is known as __________________.
Correct : C. Demerger
40. When one company takes over the management of the target company with
the permission of the board, it is known as ________________ takeover.
Correct : A. Friendly
41. Any agreement between two or more parties to collaborate with each other,
in order to achieve certain objectives while continuing to remain independent organizations is called _______________.
Correct : A. Strategic alliance
42. ________________accounting is the process by which companies and
organizations record the financial impact of agreements to rent or finance the rights to use specific assets.
Correct : D. Lease
43. A ______________ is defined as an entity that provides the right to use an
asset for a period of time in exchange for consideration.
Correct : B. lessor
44. A ____________ is a lease that transfers substantially all the risks and
rewards incidental to ownership of an asset. Title may or may not eventually be transferred.
Correct : A. Finance lease
45. ____________ is the estimated remaining period, from the commencement of
the lease term, without limitation by the lease term, over which the economic benefits embodied in the asset are expected to be consumed by the entity.
Correct : B. Useful Life
46. ______________ is a term used in the field of accounting which measures
the environmental and natural resources accounting, which tends to incorporate the natural and environmental assets of the firm and it’s resources.
Correct : B. Green Accounting
47. _________ highlights both the contribution of business enterprises to
economic wellbeing and the costs imposed in the form of pollution or resource degradation.
Correct : B. Environmental Accounting
48. _______________ is concerned with the development of measurement
system to monitor social performance.
Correct : A. Social Accounting
49. __________ is the method were all assets and liabilities are recorded on a
balance sheet according to the cost of replacing them rather than their historical costs.
Correct : A. Replacement Cost Accounting
50. ___________ acts as an evidence of social commitment.