Chapter 3 CFAS activity

An additional statement of Financial position is required when there is an error in the prior period that was discovered which warrants a retrospective restatement.

• TRUE

• FALSE

IAS 1 is the basis for presentation of projected financial statements

• TRUE

• FALSE

Banks are allowed to choose either Full PFRS or PFRS for SMEs in the preparation of their financial statements.

• TRUE

• FALSE

For the preparation of the Financial Statements, micro-entities are permitted to chose either PFRS for SEs or income tax basis.

• TRUE

• FALSE

SRC Rule 68 lays out the guidance for the preparation of Financial Statements in the Philippines

• TRUE

• FALSE

•Entities may increase their levels of accountability and transparency in response to the demands of stakeholders through the requirement of issuance of Sustainability Reports.

• TRUE

• FALSE

The quality of product and services offered as well as the value of the entity, are shown explicitly on the audited financial statements

• TRUE

• FALSE

The presentation currency should not be shown in the published financial statements since it is always presumed that the currency used in financial statements is the currency on which the entity is located.

• TRUE

• FALSE

IAS 1 states that an entity shall present a complete set of financial statements at least quarterly to exhibit an enhancing qualitative characteristic of timeliness

• TRUE

• FALSE

Offsetting is allowed only when a particular IFRS/PFRS permits such.

• TRUE

• FALSE