Reference no: EM132824702

Problem 1: Which statement is correct regarding the conceptual framework for financial reporting?

a. is not a PFRS and hence does not define standards for any particular measurement or disclosure issue

b. serves as guide in developing PFRS

c. service is a guide in resolving accounting issues that are not addressed directly in existing PFRSs

d. prevails in cases where there is conflict with PRFSs

Problem 2: Which statement is incorrect concerning tax assets and liabilities?

a. Deferred tax assets and liabilities should be distinguished from current tax assets and liabilities

b. deferred tax assets and liabilities should not be discounted

c. when an entity makes a distinction between current and non current assets and liabilities it should classify deferred tax assets and liabilities as current

d. tax assets and liabilities should be represented separately from other assets and liabilities