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F1 Exam Dumps : Financial Reporting

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Financial Reporting Questions and Answers

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Question 1

In accordance with IAS 1 Presentation of Financial Statements, which of the following will be shown in the statement of changes in equity?

Options:

A.

Proceeds from share issue, dividends received and profit for the period.

B.

Proceeds from share issue, other income and profit for the period.

C.

Proceeds from share issue, dividends paid and revaluation surplus.

D.

Other income, dividends paid and revaluation surplus.

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Question 2

When calculating the gam chargeable to tax on the disposal of a building, which of the following would NOT be an allowable deduction?

Options:

A.

Interest on a loan that was used to assist with its original purchase.

B.

Costs of constructing an extension to the building.

C.

Legal fees arising on the original purchase of the building.

D.

Estate agent's fee payable on its sale.

Question 3

While conducting their audit, auditor 0 did not encounter issues which significantly limited the scope of their audit, however they did run into problems in that they disagreed with the management on facts in the

statements.

These disagreements were somewhat material, but they did not affect the auditor's overall opinion of the business. Which of the following statements should auditor 0 issue?

Options:

A.

Emphasis of matter

B.

Unqualified report

C.

'Except for' qualification

D.

Adverse audit opinion

E.

Disclaimer of opinion

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