1) Which of the following best describes accounting principles in general? 2

1) Which of the following best describes accounting principles in general?

2 . A sound accounting framework allows for all of the following benefits except:

3.  Match the  description to each of the accounting principles.

a. Conservatism Principle

b. Historical Cost Principle

c. Objectivity Principle

d. Economic Entity Principle

e. Matching Principle

4.  Which of the following characteristics does not enhance the usefulness of financial information?

5. Identify the statement that is most accurate.

6. Which of the following is not a  description of how an operating lease is recognized on the financial statements?

7. Which of the following statements about income taxes is not ?

8.  Match the appropriate items to each type of temporary differences.

a. Generally arise when there are differences that result in current accounting income being greater than taxable income

b. Give rise to deferred tax assets

c. Generally arise when the tax base of the assets is greater than the carrying amount

d. Arise when the tax base of the liabilities is greater than the carrying amount

e. Arise when the carrying amount of the liabilities is greater than the tax base

f. Give rise to deferred tax liabilities

9.  Company Co. has 1,000 employees and it decides to grant each of the employees 200 share options as part of its new rewards plan. The options are exercisable over 5 years and subject only to the condition that the company’s stock price must be at least 30% higher than its original issue price. Company Co.’s share-based payments are subject to:

10. Which of the following is not a required criterion for a transaction to be considered a business combination?

11.Which of the following statements regarding the accounting for business combinations is false?

12. Debt issuance costs are: