A Description of the Regulatory Framework Relevant to Superannuation Plans

question 59

Multiple Choice

A description of the regulatory framework relevant to superannuation plans in Australia is:

• A) AAS 25 provides legally backed, mandatory requirements for financial reporting by superannuation funds. The reporting required covers both general-purpose financial reporting and statements of contributions and entitlements for individual members. APRA and ASIC have a role in supervising and monitoring superannuation plans in line with legislation contained in the Superannuation Industry Supervision Act 1993.
• B) ASIC has a supervisory role and APRA monitors trusts that are superannuation plans. Regulations regarding the plans are set out in the Superannuation Industry Supervision Act 1993. AAS 25 provides guidance for reporting for general-purpose users and individual members and it is recommended by APRA that plans conform with AAS 25.
• C) APRA is the regulatory body that supervises reporting and financial standards for superannuation trusts. ASIC monitors those superannuation plans established as companies. In general, superannuation plans are regulated through the Superannuation Industry Supervision Act 1993. This Act mandates compliance with AAS 25 for all superannuation plans.
• D) Superannuation plans are monitored and regulated by APRA and ASIC, with specific regulations set out in the Superannuation Industry Supervision Act 1993. AAS 25 provides guidance for general-purpose financial reports and it is recommended by APRA that plans follow AAS 25.
• E) None of the given answers.

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Definitions:

Land

The part of the earth's surface that is not covered by water, including any buildings, crops, or natural resources upon it, which can be owned or used.

Easement in Gross

A legal right to use another person's land for a specific, limited purpose, which is not tied to any particular piece of property.

Personal

Relating to or concerning individuals rather than groups or companies; not related to business or official matters.

Owner

The person or entity that has legal title, possession, or control over property, assets, or goods, and has the right to use, manage, and dispose of them.