The Only Body with the Power to Veto a Standard

question 46

Multiple Choice

The only body with the power to veto a standard recommended by the AASB is:

• A) The Financial Reporting Council.
• B) The Commonwealth Parliament.
• C) The Australian Accounting Standards Review Board.
• D) The Urgent Issues Group.
• E) None of the given answers.

---

Definitions:

Acquisition Differential

The gap between what a company is bought for and the true worth of its recognizable assets and debts.

Goodwill Impairment

Goodwill impairment occurs when the market value of a company's goodwill asset falls below its book value, indicating that the asset is overvalued on the balance sheet.

Long-Term Liabilities

Financial obligations of a company that are due after a year or more.

Net Income

Net income is the total earnings of a company after subtracting all expenses, taxes, and losses.