Tute 2 Solutions Acc1030 S2 2014

2838 Words12 Pages
ACC 1030: Introduction to Financial Accounting Semester 2 2014 Custom text (Gerrand et al) questions and Additional tutorial problems Solutions Tutorial 2: Conceptual Framework / Capital maintenance Reference: Text: Gerrand et al (2013): Pages 1 - 84 Work requirements: Pages 10 – 12 short answer questions 1.1 (11, 14, 21) Extended analysis 1.1.33 Page 84: Additional tutorial problems Questions 1, 2, 3, 4 Past Exam Question 1 page 4 Tute Guide Copyright © Monash University 2014 Short answer questions pages 10 -12 Question 1.1.11 The three main sources of accounting regulation are (a) companies legislation (Corporations Act 2001); (b) Australian Stock Exchange listing regulations; and (c) accounting…show more content…
A conceptual framework can also lead to better understanding among accountants, auditors and users because all parties would be using a common set of definitions and criteria when interpreting company financial reports. The AASB’s Policy Statement 5 The Nature and Purpose of Statements of Accounting Concepts explicitly states the potential benefits of the conceptual framework as follows (paragraph 7): (a) accounting standards should be more consistent and logical, because they are developed in the context of an orderly set of concepts; (b) increased international compatibility of accounting standards should occur, because they are developed in the context of a conceptual framework that is similar to the conceptual frameworks used by the International Accounting Standards Board (IASB) and major overseas national standard setters; (c) the AASB should be more accountable for its decisions, because the thinking behind specific requirements will be more explicit, as should any departures from the concepts which may be included in particular accounting standards; (d) the process of communication between the AASB and its constituents should be enhanced, because the conceptual

    More about Tute 2 Solutions Acc1030 S2 2014

      Get Access