Definition, Scope and Accounting Standards including Ind AS – Quiz 1

Definition, Scope and Accounting Standards including Ind AS is the First Unit (Unit 1) under Module A: Accounting Principles and Processes of Paper – III (Accounting & Financial Management for Bankers)

If you are appearing for the Upcoming JAIIB Exams, it is important to understand the fundamental concepts of the Topics and clear your doubts. We have prepare and collected some fundamental questions and answers in the form of MCQ Questions and Answers arranged into multiple Quizzes having 10 Questions in each Quiz. It can help you to understand the topics. A solid fundamental understanding will build your confidence and encourage you to think critically and enables you to answer the JAIIB Questions correctly in the Exam and increase your chances to pass the exam with flying colors. It is advisable to practice these Questions and Answers on regular basis to raise your confidence Level.

Practice MCQ Question and Answer – Definition, Scope and Accounting Standards including Ind AS

Quiz 1

1. What term is used to express business transactions in accounting ?





….
Answer is (c)
Money

2. What type of events are recorded in the books of account ?





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Answer is (d)
Events of a financial character

3. Apart from recording and summarizing, what additional function does accounting serve ?





….
Answer is (b)
Interpreting the financial data

4. Why does accounting express business transactions in terms of money ?





….
Answer is (c)
To allow for easier interpretation

5. Which of the following accurately describes the function of accounting in relation to business transactions ?

  1. Accounting only records transactions; it does not classify or summarize them
  2. Accounting records transactions based on their complexity
  3. Accounting interprets transactions rather than recording them
  4. Accounting records, classifies, and summarizes business transactions




….
Answer is (d)
Accounting records, classifies, and summarizes business transactions

6. What is the primary purposes of accounting ?

  1. To Keep a systematic record
  2. To ascertain the financial position of the business
  3. To satisfy the requirements of law
  4. To facilitate rational decision- making




….
Answer is (d)
To Keep a systematic record, To ascertain the financial position of the business, To satisfy the requirements of law and To facilitate rational decision- making.

7. What is the primary objective of the Accounting Standards Board (ASB) established by the Institute of Chartered Accountants of India (ICAI) ?

  1. To enforce accounting policies in all industries
  2. To harmonize diverse accounting policies and practices
  3. To promote competition among accounting firms
  4. To provide training for aspiring accountants




….
Answer is (a)
To harmonize diverse accounting policies and practices

8. How does the ASB determine the areas in which accounting standards need to be formulated ?





….
Answer is (c)
By considering the views of various stakeholders and study groups

9. What is the process followed by the ASB after preparing an exposure draft of a proposed accounting standard ?





….
Answer is (c)
Seeking comments from its members and the public

10. What role does the ASB play in the mandate of accounting standards by the council of ICAI ?

  1. Directly enforcing standards without consultation
  2. Recommending standards to the council
  3. Ignoring stakeholder feedback
  4. Operating independently of ICAI




….
Answer is (a)
Recommending standards to the council
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Quiz Numbers

1
2
3
4
5

Read More: MCQ Type Questions and Answers from Paper – III (Accounting & Financial Management for Bankers)

Module A: Accounting Principles and Processes

Module B – Financial Statements and Core Banking Systems

  • Balance Sheet Equation
  • Preparation of Final Accounts
  • Company Accounts – I
  • Company Accounts – II
  • Cash Flow & Funds Flow
  • Final Accounts of Banking Companies
  • Core Banking Systems & Accounting in Computerised Environment

Module C – Financial Management

  • Financial Management – An Overview
  • Ratio Analysis
  • Financial Mathematics – Calculation of Interest & Annuities
  • Financial Mathematics – Calculation of YTM
  • Financial Mathematics – Forex Arithmetic
  • Capital Structure and Cost of Capital
  • Capital Investment Decisions/Term Loans
  • Equipment Leasing/Lease Financing
  • Working Capital Management
  • Derivatives

Module D – Taxation and Fundamentals of Costing

  • Taxation: Income Tax/TDS/Deferred Tax
  • Goods & Services Tax
  • An Overview of Cost & Management Accounting
  • Costing Methods
  • Standard Costing
  • Marginal Costing
  • Budgets and Budgetary Control