 Show CONCEPTUAL FRAMEWORK AND ACCOUNTING STANDARDS Conceptual Framework and Accounting Standards (1-19) Q&A 1.Which of the following correctly relate(s) to the Monetary/ Stable monetary/ Monetary Unit concept? I.assets, liabilities, equity, revenues and expenses should be stated in terms of a unit of measure which is the peso in the Philippines. II.the purchasing power of the peso is stable or constant and that its instability is insignificant and therefore ignored. a.I b.II c.I and II d.None 2.The PFRSs do not apply to a.sole proprietorships. b.partnerships. c.cooperatives. d.non-profit organizations. e.The PFRSs apply to all of these entities. 3.To be relevant, information should have which of the following? a.Verifiability. b.Confirmatory value. c.Understandability. d.Costs and benefits. 4.Entity A’s current year financial statements include the preceding year’s financial statements as comparative information. This is most in keeping with the concept of a. Inter-comparability. b.Intra-comparability. c.Verifiability. d.Faithful representation. 5.This refers to financial statements that are intended to meet the needs of users who are not in a position to require an entity to prepare reports tailored to their particular information needs. a.All-purpose financial statements b.General purpose financial statements c.Managerial reports d.Unisex financial statements 6.Which of the following statements is incorrect regarding the purpose of the Conceptual Framework? What does the Conceptual Framework refer to?A conceptual framework is a representation of the relationship you expect to see between your variables, or the characteristics or properties that you want to study. Conceptual frameworks can be written or visual and are generally developed based on a literature review of existing studies about your topic.
What is a reporting entity Conceptual Framework?A reporting entity is an entity that is required, or chooses, to prepare financial statements. A reporting entity can be a single entity or a portion of an entity or can comprise more than one entity. A reporting entity is not necessarily a legal entity. Conceptual Framework for Financial Reporting, paragraph 3.10.
What are the 3 main elements of the conceptual frame?The three domains: experiential learning, attitude development and design education together form the conceptual framework of human-centered design education (see figure 1). ...
What is the main purpose of Conceptual Framework?The primary purpose of the Conceptual Framework was to assist the IASB in the development of future IFRSs and in its review of existing IFRSs. The Conceptual Framework may also assist preparers of financial statements in developing accounting policies for transactions or events not covered by existing standards.
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