11) ________ have more detailed rules than ________.
A) IFRS; U.S. GAAP
B) U.S. GAAP; IFRS
C) This is a trick question, since U.S. GAAP and IFRS are the same.
D) IGAAP; U.S. GAAP
12) ________ are more concept-based than ________.
A) IFRS; U.S. GAAP
B) U.S. GAAP; IFRS
C) This is a trick question, since U.S. GAAP and IFRS are the same.
D) IGAAP; U.S. GAAP
13) ________ is more rule-based than ________.
A) IFRS; U.S. GAAP
B) U.S. GAAP; IFRS
C) This is a trick question, since U.S. GAAP and IFRS are the same.
D) IGAAP; U.S. GAAP
14) The SEC has ________.
A) ordered all U.S. companies to begin using IFRS immediately
B) ruled that U.S. companies may never use IFRS for financial reporting
C) established a time table for the convergence of U.S. GAAP and IFRS
D) established an International Accounting Standards Board to create international accounting rules
15) The IRS developed GAAP, or generally accepted accounting principles, for the accounting profession.
16) The FASB, or Financial Accounting Standards Board, is currently the standards-setting body for rules that U.S. publicly-held companies must use in preparing financial statements.
17) GAAP, or generally accepted accounting principles, are the rules for preparing financial statements followed by the accounting profession in the United States.
18) Revenue minus expenses equals net income.
19) Revenue minus expenses equals gross profit.
20) The Financial Accounting Standards Board sets international financial reporting standards (IFRS).
21) IFRS and U.S. GAAP are the same in all respects.
22) IFRS have fewer detailed rules than U.S. GAAP.