Which of the Following Is Correct Regarding IFRS

question 22

Multiple Choice

Which of the following is correct regarding IFRS?

• A)Companies that are required to file their financial statements with the SEC must follow IFRS starting in 2015.
• B)Recent developments suggest that the SEC may be slowing down its efforts towards adopting IFRS any time soon.
• C)When an auditor is engaged to report on financial statements prepared in accordance with IFRS,they must issue a qualified opinion.
• D)The introductory paragraph of the audit report is modified to indicate that the audit was conducted in accordance with International Standards on Auditing.

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Definitions:

Trade Balance

The value of a nation’s exports minus the value of its imports; also called net exports.

Capital Flight

The large-scale exodus of financial assets and capital from a country due to economic instability or unfavorable policies, leading to a decrease in investment and economic growth.

Real Exchange Rate

The rate at which the goods and services of one country can be exchanged for those of another, adjusted for inflation.

National Saving

The total amount of savings generated within a country, typically calculated as the sum of private and public savings after accounting for investments and budget deficits.