Preparing for change

In order to be awarded CPD units you must answer the following five random questions correctly. If you fail the test, please re-read the article before attempting the questions again.

  1. The comment period for the updated exposure draft, Revenue from contracts with customers, closed recently. Most respondents agreed with many of the proposals but some expressed concerns over the standard. Which of the following were the main concerns for respondents?

  2. The European Financial Reporting Advisory Group (EFRAG) supports the adoption of the group accounting standards and recommends their endorsement. However, it does not support the mandatory effective date of 1 January 2013. Why does EFRAG not support the mandatory effective date for the new standards?

  3. IFRS 9 Financial Instruments is being developed in three phases - classification and measurement, impairment and hedging. The IASB agreed in late 2011 to look at limited modifications to IFRS 9 for classification and measurement. Which of the following was a key amendment to IFRS 9?

  4. Which of the following is not a current requirement of IFRS 9?

  5. New and revised standards on group accounting were published in 2011. For example IFRS 10, Consolidated financial statements replaces IAS 27 Consolidated and Separate Financial Statements and SIC-12 Consolidation - Special Purpose Entities and sets out a single consolidation model that identifies control as the basis for consolidation for all types of entities. Which of the following implementation principles relates to these new standards?