Which are components of an enterprise about which separate financial information is available that is evaluated regularly by the chief operating decision maker in deciding how to allocate resources and in assessing performance?
A. Service acts
B. Performance segments
C. Control segments
D. Operating segments
An entity method is applied to corporate joint ventures and to investments in certain less than majority-owned companies in circumstances where:
A. the investment is for the long term
B. the investor company has the ability to exercise significant influence over the operating and financial policies of the investee company.
C. Both A and B
D. Neither A nor B
Permanent stockholders' equity represents an outside claim (from the permanent stockholders' perspective) on the net assets of a subsidiary.
A. True
B. False
What represent the ownership interests in the net assets of the subsidiary held by persons outside the controlling entities' structure?
A. External control
B. Minority interests
C. Permanent stockholder
D. None of the above
What represent the ownership interests in the net assets of the subsidiary held by persons outside the controlling entities' structure?
A. External control
B. Minority interests
C. Permanent stockholder
D. None of the above
There is pending litigation concerning the acquisition of a subsidiary and it is probable such litigation will result in its divestiture is an example of:
A. Transaction control
B. Subsidiary control
C. Significance control
D. Temporary control
According to Securities and Exchange Commission (SEC), "the possession, direct or indirect, of the power to direct or cause the direction of the management and policies of a person, whether through the ownership of voting shares, by contract, or otherwise" is called:
A. Control
B. Influence
C. Activity
D. Entitlement
All operations under common control are combined, intercompany balances and transactions are eliminated and the effects of minority interests are recorded through:
A. Managed transactions
B. Controlled investment
C. Consolidation
D. Monitory control
What is the purpose of consolidated financial statements?
A. These statements are intended to reflect the financial position and results of operations of an economic entity rather than a legal entity.
B. These statements are intended to ignore the financial position and results of operations of an economic entity rather than an unofficial entity.
C. These statements are intended to reflect the financial position and results of operations of a credited entity rather than a supplemental entity.
D. None of the above
For Generally Accepted Accounting Principles (GAAP), the four methods for reporting the results of operations and financial position of a subsidiary (investee) by a parent (investor) are:
A. Renovation, Equity Basis, Market, Cost
B. Consolidation, Equity Basis, Market, Cost
C. Equity Basis, Market, Cost, Time
D. Market, Cost, Performance, Time
Nowadays, the certification exams become more and more important and required by more and more enterprises when applying for a job. But how to prepare for the exam effectively? How to prepare for the exam in a short time with less efforts? How to get a ideal result and how to find the most reliable resources? Here on Vcedump.com, you will find all the answers. Vcedump.com provide not only SOFE exam questions, answers and explanations but also complete assistance on your exam preparation and certification application. If you are confused on your AFE exam preparations and SOFE certification application, do not hesitate to visit our Vcedump.com to find your solutions here.