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Free T7 Exam Braindumps (page: 4)

Page 4 of 23
PDF with 89 Questions

What is the timing of revenue recognition?

  1. When it is probable that future economic benefits will flow to the company and reliable measurement of the amount of revenue is possible
  2. When the company reports current and non-current classifications in its statement of financial position
  3. When economic benefits are received by the company and reliable measurement of the amount of revenue is possible
  4. When users have sufficient reasonable knowledge of business and financial accounting matters to understand the information

Answer(s): A



In defined contribution plans when the contributions are not expected to be settled wholly before twelve months after the end of the reporting period, what must occur?

  1. The employer must assume risk for the plan
  2. Contributions must be discounted
  3. Contributions must not be discounted
  4. The employer must pay a specified amount to the employee

Answer(s): B



What is the purpose of an income statement?

  1. To show liability and equity and the manner in which those funds are employed
  2. To account for changes in cash during the accounting period
  3. To show details of the nature of a company’s operating activities
  4. To reconcile the beginning and ending balances of stockholders’ equity

Answer(s): C



An offer of redundancy is an example of which kind of employee benefits?

  1. Short-term benefits
  2. Post-employment benefits
  3. Termination benefits
  4. Long-term benefits

Answer(s): C



Page 4 of 23



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