Test Bank Intermediate Accounting (Volume 2) 14th Canadian Edition By Kieso, Weygandt, Warfield, Wiley, Wiecek, McConomy

Test Bank For
Intermediate Accounting (Volume
2) 14th Canadian Edition By Kieso,
Weygandt, Warfield, Wiley,
Wiecek, McConomy


(All Chapters 13-23, 100% Original
Verified, A+ Grade)
All Chapters Arranged Reverse:
23-13


This is The Original Test Bank For
14th Canadian Edition, All other
Files in The Market are
Fake/Old/Wrong Edition.

,Intermediate Accounting, 14Ce (Kieso)
Chapter 23 Other Measurement and Disclosure Issues

1) Which of the following items found in an annual report is NOT subject to GAAP?
A) financial statements
B) management's discussion and analysis
C) inventory methods
D) accounting policies
Answer: B
Diff: 1
Learning Objective: Review the full disclosure principle and how it is implemented, and explain
how companies use accounting policy notes.
Section Reference: Full Disclosure Principle
CPA: Financial Reporting
Bloomcode: Knowledge
AACSB: Analytic

2) Reasons for increased disclosure requirements do NOT include
A) the current government trend toward reducing income taxes.
B) the necessity for timely information.
C) the complexity of the business environment.
D) accounting as a control and monitoring device.
Answer: A
Diff: 1
Learning Objective: Review the full disclosure principle and how it is implemented, and explain
how companies use accounting policy notes.
Section Reference: Full Disclosure Principle
CPA: Financial Reporting
Bloomcode: Knowledge
AACSB: Analytic

3) Which of the following does NOT need be disclosed in a Summary of Significant Accounting
Policies?
A) inventory valuation method(s)
B) revenue recognition method(s)
C) depreciation and amortization method(s)
D) claims of shareholders
Answer: D
Diff: 1
Learning Objective: Review the full disclosure principle and how it is implemented, and explain
how companies use accounting policy notes.
Section Reference: Full Disclosure Principle
CPA: Financial Reporting
Bloomcode: Knowledge
AACSB: Analytic




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,4) Errors and irregularities are defined as intentional distortions of facts. Yes or No?
A) Errors - yes; Irregularities - yes
B) Errors - yes; Irregularities - no
C) Errors - no; Irregularities - yes
D) Errors - no; Irregularities - no
Answer: C
Diff: 2
Learning Objective: Review the full disclosure principle and how it is implemented, and explain
how companies use accounting policy notes.
Section Reference: Full Disclosure Principle
CPA: Financial Reporting
Bloomcode: Application
AACSB: Analytic

5) Which of the following facts concerning property, plant, and equipment should be included in
the Summary of Significant Accounting Policies?
A) Depreciation Method - no; Composition of Assets - yes
B) Depreciation Method - yes; Composition of Assets - yes
C) Depreciation Method - yes; Composition of Assets - no
D) Depreciation Method - no; Composition of Assets - no
Answer: C
Diff: 2
Learning Objective: Review the full disclosure principle and how it is implemented, and explain
how companies use accounting policy notes.
Section Reference: Full Disclosure Principle
CPA: Financial Reporting
Bloomcode: Application
AACSB: Analytic

6) Which of the following is INCORRECT regarding the notes to the financial statements?
A) The notes are often overlooked because they are highly technical.
B) The notes are management's means of amplifying items presented in the statements.
C) The notes present information that is not included in the financial statements.
D) The notes often have limited value for users.
Answer: D
Diff: 1
Learning Objective: Review the full disclosure principle and how it is implemented, and explain
how companies use accounting policy notes.
Section Reference: Full Disclosure Principle
CPA: Financial Reporting
Bloomcode: Knowledge
AACSB: Analytic




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, 7) Which of the following statements best describes the difference in the disclosure requirements
between IFRS and ASPE?
A) The disclosure requirements are generally the same under both IFRS and ASPE.
B) The disclosure requirements for publicly traded companies have increased substantially in the
past two decades.
C) The disclosure requirements are more pervasive under ASPE.
D) Privately held companies using IFRS do not need to adhere to the same reporting disclosure
requirements as publicly traded companies.
Answer: B
Diff: 1
Learning Objective: Review the full disclosure principle and how it is implemented, and explain
how companies use accounting policy notes.
Section Reference: Full Disclosure Principle
CPA: Financial Reporting
Bloomcode: Knowledge
AACSB: Analytic

8) According to IFRS, an operating segment is a reportable segment if
A) its operating profit is 10% or more of the combined operating profit of profitable segments
only.
B) its operating loss is 10% or more of the combined operating losses of segments that incurred
an operating loss.
C) the absolute amount of its operating profit or loss is 10% or more of the greater, in absolute
amount, of (a) the combined reported operating profit of all operating segments that incurred a
loss, and (b) the combined reported profit of all operating segments that did report a profit.
D) the absolute amount of its reported profit or loss is 10% or more of the greater, in absolute
amount, of (a) the combined reported operating profit of all operating segments that did not incur
a loss, or (b) the combined reported loss of all operating segments that did report a loss.
Answer: D
Diff: 2
Learning Objective: Describe the disclosure requirements for major segments of a business.
Section Reference: Segmented Reporting
CPA: Financial Reporting
Bloomcode: Comprehension
AACSB: Analytic




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