T7 International Financial Reporting Standards for Compensation Professionals Exam Question and Answers

Expense recognition and matching

Revenue recognition and matching

Revenue recognition and measurement

Cost and materiality

Net defined benefit liability (asset)

Asset ceiling

Fair value

Net present value

Current liabilities come due in less than a year

Current liabilities come due in less than 18 months

Noncurrent liabilities come due in less than a year

Both current and noncurrent liabilities come due in less than a year

A residual interest in the assets of the entity after deducting all its liabilities

Faithful representation of the amount paid for a given item

Amount for which an asset could be exchanged or a liability settled between knowledgeable, willing parties in an arm’s length transaction

Quality of information that confirms users’ earlier expectations

To show liability and equity and the manner in which those funds are employed

To account for changes in cash during the accounting period

To show details of the nature of a company’s operating activities

To reconcile the beginning and ending balances of stockholders’ equity

Because they remain on your premises, they are considered staff costs

Due to the outsourcing of the staff, they are now considered service-supplier costs rather than staff costs

The residual interest in the assets of the entity after deducting all its liabilities.

A resource controlled by the entity as a result of past events and from which future economic benefits are expected to flow to the entity

A present obligation of the entity arising from past events, the settlement of which is expected to result in an outflow from the entity of resources embodying economic benefits

Increases in economic benefits during the accounting period in the form of inflows or enhancements of assets or decreases of liabilities that result in increases in equity, other than those relating to contributions from equity participants

Retained earnings and treasury stock

Investing activities and financing activities

Operating revenues and noncurrent assets

Revenue items and owners’ equity

Directors and management personnel

All employees except casual employees

All employees

All full-time employees

To develop a single set of high quality and enforceable global accounting standards

To align US standards and International Accounting Standards Board (IASB) standards

To appoint Standards Advisory Council (SAC) members

To monitor International Accounting Standards Board (IASB) effectiveness