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CPA Australia Financial-Accounting-and-Reporting Exam Syllabus Topics:

CPA Australia CPA Financial Accounting and Reporting Sample Questions:

Question 1

Which one of the following is an advantage of current purchasing power accounting?

A. It supposes that value of net assets clearly reflects general goods and services are bought once assets were released.
B. It enables raw data to be just easily verifiable but not auditable.
C. It provides a clear use of indices which approximates the measurement of value.
D. It provides a stable monetary unit that values profit and capital.

Question 2

Which one of the following statements is not correct in respect of manual accounting systems?

A. They are bulky to store compared to computer systems.
B. Risk of error is greater and the quality of outputs is inferior.
C. Productivity in manual systems is lower than computer systems.
D. It is easy to make corrections.

Question 3

Generally accepted accounting practice recognises revenue when

A. goods are produced.
B. customers order goods.
C. cash is received for the goods.
D. goods are dispatched to the customer.

Question 4

XYZ Ltd is listed on the Australian Securities Exchange (ASX). Which one of the following reports is the company required to prepare as a part of its annual financial report?

A. chairman's statement
B. management commentary
C. sustainability report
D. corporate governance statement

Question 5

To be relevant, financial information has to
I)be provided in a timely manner.
II)comply with the going concern assumption.
III)have predictive and/or confirmatory value.
IV)exclude computations that are difficult to understand.

A. I and III only
B. III and IV only
C. I and II only
D. II and III only

Solutions: