Accounting Standards and IFRS MCQs [Multiple Choice Questions and Answers 2025 Free PDF]

Accounting Standards and IFRS MCQs
Multiple Choice Questions and Answers
For BCOM, MCOM, CMA Intermediate and Junior Accountant Exam

In this page, you will get Accounting Standards and IFRS MCQs Multiple Choice Questions and Answers which are useful for BCOM, MCOM, UKPSC Assistant Accountant Exam and Various Professional Exams Like CA/CMA and CS.

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Meaning of Accounting Standards and IFRS:-

ACCOUNTING STANDARDS

Accounting Standards are the policy documents or written statements issued, from time to time, by an apex expert accounting body in relation to various aspects of measurement, treatment and disclosure of accounting transactions for ensuring uniformity in accounting practices and reporting. These standards are prepared by Accounting Standard Board (ASB). Accounting Standards are formulated with a view to harmonies different accounting policies and practices in use in a country. 

International Financial Reporting Standards (IFRS)

IFRS is a set of international accounting standards stating how particular types of transactions and other events should be reported in financial statements. IFRS are generally principles-based standards and seek to avoid a rule-book mentality. Application of IFRS requires exercise of judgment by the preparer and the auditor in applying principles of accounting on the basis of the economic substance of transactions. IFRS are issued by the International Accounting Standards Board (IASB).

Here is the cleaned-up version with consistent formatting and no extra spaces:

1. Accounting Standards Board of India was established in the year:

a) 1970

b) 1972

c) 1973

d) 1977

Ans:- d) 1977

2. Accounting Standard Board of India was set up by ICAI (Institute of Chartered Accountants of India).

3. How many mandatory accounting standards are there in India (2020)?

a) 29

b) 32

c) 41

d) 112

Ans:- a) 29

4. Which one of the following accounting standards is not mandatory?

a) AS 30 - Financial Instruments: Recognition and Measurement

b) AS 31 - Financial Instruments: Presentation

c) AS 32 - Financial Instruments: Disclosures

d) All of the above

Ans:- d) All of the above

5. What is the aim of accounting standards in India?

a) To make financial statements more comparable.

b) To ensure uniformity in accounting policies.

c) To guide the judgement of professional accountants.

d) All of the above

Ans:- d) All of the above

6. As per Indian GAAP, financial statements are presented at:

a) Market Value

b) Fair Value

c) Cost

d) None of the above

Ans:- b) Fair Value

7. Which one of the following is not a consideration in the selection of accounting policies?

a) Prudence

b) Substance over form

c) Materiality

d) Full disclosure

Ans:- d) Full disclosure

8. Which one of the following is a fundamental accounting assumption?

a) Going Concern Concept

b) Accrual Concept

c) Consistency Concept

d) All of the above

Ans:- d) All of the above

9. Total number of IFRS is:

a) 15

b) 16

c) 17

d) 18

Ans:- c) 17

10. International Accounting Standards Board (IASB) was established in the year:

a) 1977

b) 2001

c) 2013

d) 2019

Ans:- b) 2001

11. How many Ind AS are there in India (2020)?

a) 29

b) 32

c) 41

d) 17

Ans:- c) 41

12. The accounting standards are mandatory for:

a) Sole trader

b) Firms

c) Companies

d) Societies

Ans:- c) Companies

13. Accounting standard cannot override the statute : -True

14. Premier body of accounting in India is :-ICAI.

15. Accounting standards and accounting principles are one and the same thing.:-False

16. Structure of Accounting Principles includes:

a) Accounting concepts

b) Accounting conventions

c) Fundamental assumptions

d) All of the above

Ans:- d) All of the above

You Can also Download Financial Accounting MCQs which includes Accounting Standards and IFRS MCQs from here.

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