Accruals adoption: OECD countries could do better

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 re-read the article before attempting the questions again

  1. Why is accrual accounting more beneficial to government accounting than the cash system?

  2. How do we know that more and more governments around the world are moving to accruals?

  3. What steps are countries seeing as a result of accrual information?

  4. Once governments move to accrual accounting -

  5. Which two countries among the OECD Asian members use accrual for budgeting?

  6. Why are so few Asian countries using the accrual system?

  7. What is the benefit of having an accrual budget linked to an accrual accounting system?

  8. What are the risks of not illustrating clearly future costs in government accounts?

  9. What do a large number of governments avoid reporting despite being among adopters of accrual accounting?

  10. What do you need to get a full understanding of the financial situation of a country?