- Accumulated benefit obligation
- Projected benefit obligation
- Vested benefit obligation
- None of these
- b
All Departments Solved Papers
All Department’s Current & Past Solved Papers are included in this section of ETEST Academy’s Website. All MCQs of All Departments are included in this section with complete detail. Our team updates this website on daily basis.
Which of the following is not a characteristic of a defined contribution pension plan?
- The benefit of gain or risk of loss from assets contributed to the pension fund are borne by the employee
- The accounting for a defined contribution plan is straight forward and uncomplicated
- The employers contribution each period is based on a formula
- The benefit to be received by employees are usual determined by employer’s three highest years salary defined by terms of the plan
- D
In a defined contribution plan, a formula is used that?
- Requires an employer to contribution a certain sum each period based on the formula
- Ensure the pension expense and cash funding amount will be different
- Define the benefit that employee will receive at the time of retirement.
- None of the above
- C
In a defined benefit plan, the process of funding refer to:
- Determining the accumulated benefit obligation.
- Determining the projected benefit obligations.
- Making the periodic contribution to a funding agency to ensure that funds are available to meet claims.
- None of these
- C
The income statement should be prepared:
- After retained earning statement and before the balance sheet.
- After the retained earning statement and before the balance sheet.
- Before the retained earning statement & balance sheet.
- After the balance sheet and before the retained earning statement.
- C
Which of the following statement is not true?
- Authority refer to an individual’s obligation to achieve desire results
- If an employee is given the responsibility for a task, that employee should be given make decision within the limits of the task.
- The detail provided to employee is function of the employee’s position with the firm
- None of above
- d
An advantage of batch general ledger system (GLS) is that:
- The general ledger master file in created with cash each.
- Separation between authorization and transactions processing is strictly enforced.
- Both A & B
- None of the above
- b
Which best describes a batch process of general ledger (GLS) system?
- There is a time lag between transactions processing and posting to the general ledger
- Paper documents are eliminated
- The general ledger master file
- No direct access or querying of the general ledger is possible.
- a
Which situation indicate on internal control risk in the general ledger / financial reporting system GL / FRS?
- The cash receipts journal voucher is approved by the treasure.
- The employee who maintain the cash journal computers depreciation expenses
- The employee who maintain the cash receipts journal records transactions on the accounts receivable subsidiary ledger.
- None of these
- c
Financial Statements are prepared from the:
- General Ledger
- Trial Ledgers
- Adjusted Trial Balance
- None of these
- b