Which of the following should be disclosed in the notes to financial statements?

1

Which of the following best describes the purpose of disclosure notes in the financial statements?

A

To provide more detail for the users of financial statements about the information in the statement of financial position and statement of profit or loss and other comprehensive income.

B

To allow companies to present their financial results in a more favourable way by only disclosing some things in the notes and not on the main financial statements.

C

To give all the detail of all the transactions that occurred during the period because the main financial statements only present a summary.

D

To explain the accounting treatment adopted where management have chosen not to apply accounting standards.

2

For which class or classes of assets should a company disclose in the notes to the financial statements a reconciliation of the opening carrying amount to the closing carrying amount, showing the movements in the period?

1

Cash

2

Intangible assets

3

Tangible non-current ass

4

Trade receivables

A

3 only

B

2 and 3 only

C

1 and 4 only

D

1 only

3

Which of the following should be disclosed in the note to the financial statements for inventories?

1

The date the inventories were purchased or manufactured and/or how long they have been held as inventories

2

The amount of inventories carried at net realisable value

3

The accounting policies adopted in measuring inventories

4

The useful life of the inventories

A

3 only

B

2 and 3 only

C

1 and 4 only

D

1 only

4

Which of the following should be disclosed in the note to the financial statements for intangible assets?

1

The method of amortisation used

2

A reconciliation of the carrying amount at the beginning and end of the period

3

The useful life of the assets

4

The net realisable value of any deferred development costs capitalised

A

1, 2 and 3 only

B

2 and 3 only

C

2, 3 and 4 only

D

2 only

5

Which of the following statements is/are correct?

1

IAS 37 requires disclosure in the notes to the financial statements of the uncertainties affecting the outcome of a provision

2

IAS 10 requires disclosure of the nature and financial effect of a non-adjusting event after the reporting period in the notes to the financial statements

A

1 only

B

2 only

C

Both 1 and 2

D

Neither 1 nor 2

6

A certain IFRS requires that the following disclosure is made in a note to the financial statements:

(i)

A brief description of its nature

(ii)

Where practicable an estimate of the financial effect

(iii)

An indication of the uncertainties relating to the amount or timing of any outflow

(iv)

The possibility of any reimbursement

Which of the following does the above disclosure apply to?

A

Provisions

B

Contingent liabilities

C

Contingent assets

D

Events after the reporting period

7

Which of the following should be disclosed in the note to the financial statements for tangible noncurrent assets?

1

The market value of all assets classified as tangible non-current assets, whether they have been revalued or not

2

A reconciliation of the carrying amount of non-current assets at the beginning and end of the

period

3

For revalued assets, the methods and significant assumptions applied in estimating the value

4

For revalued assets, the carrying amount of each class of assets that would have been included in the financial statements had the assets been carried at cost less depreciation

A

1, 2 and 3 only

B

2 and 3 only

C

2, 3 and 4 only

D

2 only

8

Which of the following are required as disclosures by IAS 2 Inventories?

1

The amount of write-downs of inventories in the period that have been recognised as an expense

2

The original cost of inventories that are carried at net realisable value

3

The carrying amount of inventories classified by type (for example, raw materials, work in progress)

A

1 and 2 only

B

1 and 3 only

C

2 and 3 only

D

1, 2 and 3

9

Which one of the following is a disclosure about non-adjusting events required by IAS 10 Events after the reporting period?

A

Dividends declared before the end of the reporting period and paid after the end of the reporting period

B

The nature of both material and non-material non-adjusting events

C

The date that the non-adjusting event occurred

D

An estimate of the financial effect of the event, unless a reasonable estimate cannot be made