Definition, Scope and Accounting Standards including Ind AS
Chapter notes, video classes, MCQ practice tests and quick-revision one-liners for Accounting and Financial Management for Bankers — JAIIB.
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Free sample — 8 of 65 rapid-fire Q&A cards.
What are the four functions that fall within bookkeeping?
The four bookkeeping functions are Identifying financial transactions, Measuring them in money, Recording them in books of original entry, and Classifying them through ledger postings.
On which date was the Accounting Standards Board (ASB) constituted by ICAI?
21st April 1977
Which activities are added by accountancy on top of bookkeeping?
Accountancy adds designing the bookkeeping system, establishing internal controls, analysing data, reporting to stakeholders, and supplying management with information for decision-making.
Which Indian Accounting Standard (AS) deals with Cash Flow Statements?
AS 3
What is the key difference between bookkeeping and accountancy in terms of scope?
Bookkeeping is narrow and covers recording only, while accountancy is wider and includes bookkeeping plus summarising, interpreting, and reporting.
Which AS covers Contingencies and Events Occurring After the Balance Sheet Date?
AS 4
What is the correct sequence of the four stages of accountancy?
The four stages in order are Classification, Recording, Summarising, and Interpreting — remembered by the mnemonic CRSI.
Which AS deals with Net Profit or Loss for the Period, Prior Period Items and Changes in Accounting Policies?
AS 5
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