IASB looks at non-GAAP measures

Multiple-choice questions: In order to be awarded CPD units you must answer the following five random questions correctly. If you fail the test, please reread the article before attempting the questions again

  1. What does MPM stand for?

  2. Which standard would be new IFRS Accounting Standard resulting from the Primary Financial Statements project replace?

  3. What elements are the IASB focusing on in defining an MPM?

  4. Which, if any, of the following characteristics are true of an MPM? Statement 1, they communicate management's view of an aspect of an entity's financial performance OR statement 2, they are used in public communications outside of the financial statements

  5. What is a new, acceptable subtotal proposed by the IASB?

  6. Which of the following was not identified as a commonly used non-GAAP measure?

  7. Which of the following should be included in the reconciliation between the MPM and most directly comparable subtotal?

  8. Which, if any, of the following statements are true in respect of EBITDA? Statement 1, the use of EBITDA will be prohibited OR statement 2, the IASB hopes that OPDAI will replace EBITDA

  9. Which of the following financial statements is primarily focused on as part of the Primary Financial Statements project?

  10. Which, if any, of the following items are true? Item 1, companies cannot change the method of calculating an MPM from year to year OR item 2, companies should explain how the MPM provides useful information about the entity's performance

1 Unit