Accounting Principles & Procedures Level 1 Flashcards
What are the three types of financial statement you may come across relating to a company?
What is an asset / liability?
Can you give me an example of one asset and one liability?
What is the difference between financial and management accounts?
What do you understand by the term Generally Accepted Accounting Principles (GAAP)?
How do companies know which reporting framework to comply with?
Which reporting framework do public limited companies have to comply with?
How would you assess the financial strength of an entity, e.g. for a valuation?
Can you tell me about a common financial measure?
What is the acid test / ROCE / working capital ratio / gearing ratio / net assets per share?
Can you tell me what the role of an auditor is?
When are audited accounts needed and why?
How do public limited company accounts differ to audited accounts?
Tell me something you understand from the Companies Act 2006.
Tell me what it means to prepare accounts in accordance with IFRS.
What is the difference between UK GAAP and IFRS?
What is the basis of valuation under IFRS 13?
What is fair value?
What has changed in relation to lease accounting / IFRS 16?
When did the change to lease accounting / IFRS 2016 come into effect?
What is FRS 102?
What changes have been made to FRS 102?
How have the changes to FRS 102 impacted upon investment property?
What are statutory accounts?
Why is good financial record keeping important to you?
Tell me three ways you ensure that clients’ money is handled properly.
What RICS guidance or Schemes do you adhere to in ensuring clients’ money is handled properly?
Explain your understanding of the VAT domestic reverse charge for building and construction services.
When do changes to the reverse charge apply from?
What is the impact of the reverse charge on VAT accounting?
Tell me about the Government-approved deposit schemes.
What reporting framework does the Parish Council adopt, and why?
