1. What is the objective of financial statements according to the IASB Framework? a) To prepare and present a balance sheet, an income statemen To provide information about the financial position, useful to a wide range of users in making economic decisions b) t, a cash flow statement, a statement of changes in equity performance, and changes in financial position of an entity that is c) T o prepare and present comparable, relevant, rellable, and understandable information to investors and creditors To prepare financial statements in accordance with all applicable Standards and Interpretations d) 2. According to IASB framework, timeliness is an ingredient of the primary quality of b) c) d) es No Yes No Yes es No No 3. As per IASB conceptual framework, the process of reporting an item in the financial statements of an entity is: a) Allocation b) Recognition c) Realization d) Matching 4. Compared to the accrual basis of accounting, the cash basis of accounting overstates income during the accounting period by the net increase of: Accounts Receivables Accrued Expense Pavable a) b) c) d) Yes No Yes No Yes Yes No No 5. Which of the following informa on is not speci cally a required disclosure of IAS 1 (Presenta on of Financial Statements)? a) Name of the reporting entity or other means of identification, and any change in the information from the previous year b) Level of rounding used in presenting the financial statements c) Names of major/significant shareholders of the entity d) Whether the financial statements cover the indvidual entity or a group of entties