1. Increases in economic benefits in form of inflows or enhancements of assets or decreases of liabilities that result in an increase in equity other than increases resulting from contributions from owners represent the following element of financial reporting:
   1. Income
   2. Equity
   3. Liabilities
2. The two underlying assumptions of IFRS conceptual framework are:
   1. Accrual basis and understandability
   2. Cost/benefit and going concern
   3. Going concern and accrual basis
3. The Percentage-of-completion method
   1. Assumes expensing contract costs for the period against the expenses
   2. Is the preferred method under both IFRS and US GAAP
   3. Is to be used when the outcome of a contract can be measured reliably