Question 1

Identify the following organizations and describe the role each plays in the drive toward harmonization:
a.
The IASB
b.
The EU

Accepted Answer

a.
The IASC (International Accounting St...

Question 2

Which country has the closest approach to a uniform national accounting system?

Accepted Answer

A)   The UK
B)   The US
C)   France
D)   GermanyE) B) and C)
F) A) and C)

Question 3

The SEC drafted report required by Sarbanes-Oxley used which of the following terms to refer to a principles-based approach to standards?

Accepted Answer

A)   Bright line standards
B)   Rule oriented standards
C)   Objective oriented standards
D)   Systematic and rational standardsE) B) and C)
F) A) and D)

Question 4

Compare and contrast the Anglo-Saxon financial reporting model with the continental model.

Accepted Answer

The Anglo-Saxon (sometimes called the An...

Question 5

Financial reporting is independent of the legal system of a nation.

Accepted Answer

A) True 
 B)False

Question 6

Which of the following does not describe the continental model of financial reporting?

Accepted Answer

A)   A weak accounting profession
B)   Strong governmental influence
C)   The primacy of investor needs over tax influences and creditor needs
D)   Emphasis of debt financing over equity capitalE) None of the above
F) A) and B)

Question 7

Principles-based standards are more highly detailed than rules-based standards.

Accepted Answer

A) True 
 B)False

Question 8

Anglo-Saxon versus continental differences have been summarized using all but which of the following characteristics?

Accepted Answer

A)   Strength of the accounting profession
B)   Population size
C)   Strong equity markets as opposed to credit financing from major banking institutions
D)   The importance of the country's legal system relative to the setting of accounting rulesE) A) and B)
F) A) and C)

Question 9

Harmonization of IASB and FASB standards is now being called:

Accepted Answer

A)   Benchmarking
B)   Conformity
C)   Uniformity
D)   ConvergenceE) All of the above
F) B) and D)

Question 10

The Accounting Standards Steering Committee (ASSC) is the United Kingdom equivalent of the Securities and Exchange Commission.

Accepted Answer

A) True 
 B)False

Question 11

Which of the following is not a true statement regarding harmonization of accounting standards?

Accepted Answer

A)   Harmonization refers to the degree of coordination or similarity among the various sets of national accounting standards and methods and the formats of financial reporting.
B)   Among the factors underlying the desire for harmonization is the rise in importance of the multinational firm.
C)   The issue of harmonization is closely tied to the efforts of the IASB as well as activities of the EU.
D)   Many continental model countries, such as France and Germany, have viewed harmonization as an opportunity to coordinate their accounting standards with those of the United States.E) B) and D)
F) A) and C)

Question 12

British standard-setters blazed the trail of accounting regulation being centered in the private sector.

Accepted Answer

A) True 
 B)False

Question 13

A false sense of comparability may develop during translation of an IFRS from English into another language.

Accepted Answer

A) True 
 B)False

Question 14

Which of the following terms is used to refer to harmonization among accounting practice of different enterprises?

Accepted Answer

A)   Formal harmonization
B)   Material harmonization
C)   De jure harmonization.
D)   ConvergenceE) All of the above
F) A) and D)

Question 15

Harmonization of accounting standards refers to the degree of coordination or similarity among the various sets of national accounting standards and methods and the formats of financial reporting.

Accepted Answer

A) True 
 B)False  True

Question 16

Which of the following terms is used to refer to the harmonization present among the accounting rules of different countries?

Accepted Answer

A)   Formal harmonization
B)   De jure harmonization
C)   Convergence
D)   All of the aboveE) A) and B)
F) All of the above D

Question 17

Which of the following does not accurately characterize the IFAC?

Accepted Answer

A)   It produces international financial reporting standards.
B)   Its guidelines cannot be imposed on any member organization or nation.
C)   Its board produces international standards for ethics, education and public sector accounting.
D)   It produces international standards for auditing and assurance.E) B) and C)
F) None of the above

Question 18

The Netherlands is a continental nation with a largely Anglo-Saxon accounting model.

Accepted Answer

A) True 
 B)False

Question 19

The Anglo-Saxon model of reporting features the use of judgment to make financial statements useful.

Accepted Answer

A) True 
 B)False  True

Question 20

The two general financial reporting models that have evolved in economically advanced countries are the Anglo-Saxon model and the European Model.

Accepted Answer

A) True 
 B)False

Exam 10: International Accounting

Identify the following organizations and describe the role each plays in the drive toward harmonization: a. The IASB b. The EU

Correct Answerverifieda.The IASC (International Accounting St...View AnswerShow Answer

Which country has the closest approach to a uniform national accounting system?

Correct AnswerverifiedShow Answer

The SEC drafted report required by Sarbanes-Oxley used which of the following terms to refer to a principles-based approach to standards?

Correct AnswerverifiedShow Answer

Compare and contrast the Anglo-Saxon financial reporting model with the continental model.

Correct AnswerverifiedThe Anglo-Saxon (sometimes called the An...View AnswerShow Answer

Financial reporting is independent of the legal system of a nation.

Correct AnswerverifiedShow Answer

Which of the following does not describe the continental model of financial reporting?

Correct AnswerverifiedShow Answer

Principles-based standards are more highly detailed than rules-based standards.

Correct AnswerverifiedShow Answer

Anglo-Saxon versus continental differences have been summarized using all but which of the following characteristics?

Correct AnswerverifiedShow Answer

Harmonization of IASB and FASB standards is now being called:

Correct AnswerverifiedShow Answer

The Accounting Standards Steering Committee (ASSC) is the United Kingdom equivalent of the Securities and Exchange Commission.

Correct AnswerverifiedShow Answer

Which of the following is not a true statement regarding harmonization of accounting standards?

Correct AnswerverifiedShow Answer

British standard-setters blazed the trail of accounting regulation being centered in the private sector.

Correct AnswerverifiedShow Answer

A false sense of comparability may develop during translation of an IFRS from English into another language.

Correct AnswerverifiedShow Answer

Which of the following terms is used to refer to harmonization among accounting practice of different enterprises?

Correct AnswerverifiedShow Answer

Harmonization of accounting standards refers to the degree of coordination or similarity among the various sets of national accounting standards and methods and the formats of financial reporting.

Correct AnswerverifiedTrue

Which of the following terms is used to refer to the harmonization present among the accounting rules of different countries?

Correct AnswerverifiedD

Which of the following does not accurately characterize the IFAC?

Correct AnswerverifiedShow Answer

The Netherlands is a continental nation with a largely Anglo-Saxon accounting model.

Correct AnswerverifiedShow Answer

The Anglo-Saxon model of reporting features the use of judgment to make financial statements useful.

Correct AnswerverifiedTrue

The two general financial reporting models that have evolved in economically advanced countries are the Anglo-Saxon model and the European Model.

Correct AnswerverifiedShow Answer

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a.
The IASC (International Accounting St...
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The Anglo-Saxon (sometimes called the An...
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True

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D

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True

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