Which of the Following Is NOT True of the Due

question 50

Multiple Choice

Which of the following is NOT true of the due process followed by the IASB in formulating International Financial Reporting Standards?

• A) A period of public comment is provided after discussion papers are prepared.
• B) Standards are approved by a unanimous vote of the 16-member board.
• C) Exposure drafts are published prior to taking a vote of the board.
• D) National accounting standards and practices are studied before preparing exposure drafts.

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Definitions:

Ending Equity

The value of an owner's interest in a company after all liabilities have been subtracted from the company’s assets at the end of an accounting period.

Accounts

Financial records that track the transactions related to a specific asset, liability, equity, revenue, or expense. These are fundamental components of the accounting system used to compile financial statements.

Accounting Equation

The foundational equation in accounting, Assets = Liabilities + Equity, representing the relationship between a company's resources and claims on those resources.

Sole Stockholder

An individual or entity that owns 100% of the shares of a corporation, holding complete control.