Financial Accounting Flashcards
When was the most recent IASB Conceptual Framework for Accounting issued?
March 2018
The purpose of the Conceptual Framework is to “(a) ______________________________ that are based on consistent concepts; (b) assist preparers to develop consistent accounting policies when no Standard applies to a particular transaction or other event, or when a Standard allows a choice of accounting policy; and (c) assist all parties to understand and interpret the Standards.”
assist the [IASB] to develop IFRS Standards (Standards)
The purpose of the Conceptual Framework is to “(a) assist the [IASB] to develop IFRS Standards (Standards) ____________________________; (b) assist preparers to develop consistent accounting policies when no Standard applies to a particular transaction or other event, or when a Standard allows a choice of accounting policy; and (c) assist all parties to understand and interpret the Standards.”
that are based on consistent concepts
The purpose of the Conceptual Framework is to “(a) assist the [IASB] to develop IFRS Standards (Standards) that are based on consistent concepts; (b) ___________________________________, or when a Standard allows a choice of accounting policy; and (c) assist all parties to understand and interpret the Standards.”
assist preparers to develop consistent accounting policies when no Standard applies to a particular transaction or other event
The purpose of the Conceptual Framework is to “(a) assist the [IASB] to develop IFRS Standards (Standards) that are based on consistent concepts; (b) assist preparers to develop consistent accounting policies when no Standard applies to a particular transaction or other event, _________________________; and (c) assist all parties to understand and interpret the Standards.”
or when a Standard allows a choice of accounting policy
The purpose of the Conceptual Framework is to “(a) assist the [IASB] to develop IFRS Standards (Standards) that are based on consistent concepts; (b) assist preparers to develop consistent accounting policies when no Standard applies to a particular transaction or other event, or when a Standard allows a choice of accounting policy; and (c) _______________________.”
assist all parties to understand and interpret the Standards
The revised framework (March 2018) includes ________________, guidance on reporting financial performance, improved definitions and guidance, and clarifications on important topics (e.g., the roles of stewardship, prudence, and measurement uncertainty in financial reporting).
a new chapter on measurement
The revised framework (March 2018) includes a new chapter on measurement, _________________, improved definitions and guidance, and clarifications on important topics (e.g., the roles of stewardship, prudence, and measurement uncertainty in financial reporting).
guidance on reporting financial performance
The revised framework (March 2018) includes a new chapter on measurement, guidance on reporting financial performance, _______________, and clarifications on important topics (e.g., the roles of stewardship, prudence, and measurement uncertainty in financial reporting).
improved definitions and guidance
The revised framework (March 2018) includes a new chapter on measurement, guidance on reporting financial performance, improved definitions and guidance, and clarifications on important topics (e.g., the roles of stewardship, prudence, and measurement uncertainty in financial reporting).
clarifications on important topics
The revised framework (March 2018) includes a new chapter on measurement, guidance on reporting financial performance, improved definitions and guidance, and clarifications on important topics (e.g., _____________, prudence, and measurement uncertainty in financial reporting).
the roles of stewardship
The revised framework (March 2018) includes a new chapter on measurement, guidance on reporting financial performance, improved definitions and guidance, and clarifications on important topics (e.g., the roles of stewardship, ____________, and measurement uncertainty in financial reporting).
Prudence
The revised framework (March 2018) includes a new chapter on measurement, guidance on reporting financial performance, improved definitions and guidance, and clarifications on important topics (e.g., the roles of stewardship, prudence, and _________________________).
and measurement uncertainty in financial reporting
Status and purpose of the Conceptual Framework. The first section notes that the Conceptual Framework’s purpose is to assist the IASB in developing and revising IFRSs that are based on consistent concepts, to help preparers to develop consistent accounting policies for areas that are not covered by a standard or where there is choice of accounting policy, and to assist all parties to understand and interpret IFRS. It maintains that ________________________. Should the IASB decide to issue a new or revised pronouncement that is in conflict with the framework, the IASB will highlight the fact and explain the reasons for the departure in the basis for conclusions.
the framework does not override any specific IFRS
Status and purpose of the Conceptual Framework. The first section notes that the Conceptual Framework’s purpose is to assist the IASB in developing and revising IFRSs that are based on consistent concepts, to help preparers to develop consistent accounting policies for areas that are not covered by a standard or where there is choice of accounting policy, and to assist all parties to understand and interpret IFRS. It maintains that the framework does not override any specific IFRS. Should the IASB decide to issue a new or revised pronouncement _________________, the IASB will highlight the fact and explain the reasons for the departure in the basis for conclusions.
that is in conflict with the framework
