1)Which of the following is not a chapter in the IASBs conceptual framework?

the Framework.

qualitative characteristics of useful financial reporting.

the objective of general purpose financial reporting.

the issues with financial reporting.

2)Which of the following statements about the conceptual framework is true?

The conceptual framework deals only with the objective of special purpose financial statements.

The Conceptual Framework for Financial Reporting provides guidelines intended to meet the information needs of a range of users who are able to command that reports be prepared to their own particular needs.

The conceptual framework deals only with the objective of general purpose financial statements.

the Conceptual Framework for Financial Reporting, SAC 1, and SAC 2 provides guidelines on the preparation of financial statements for a specific group of users.

3)The two fundamental qualitative characteristics of useful information are:

materiality and timeliness.

understandability and verifiability.

faithful representation and comparability.

relevance and faithful representation

.

4) For information to be considered material:

it must be complete.

it must not include any bias.

its omission or misstatement could influence users decision-making.

it has a predictive or confirmatory value .

5)If different independent observers could reach the same general conclusions that the information represents then the quality of the information has achieved:

neutrality.

understandability.

verifiability.

comparability.

6)The only financial statement element which cannot be defined independently of the other elements under the conceptual framework is:

equity.

assets.

income.

expenses.