The primary body that formulates Indian Accounting Standards (Ind AS) is the: MCQ with Answer and Explanation

The primary body that formulates Indian Accounting Standards (Ind AS) is the:
A. Institute of Chartered Accountants of India (ICAI)
B. Reserve Bank of India (RBI)
C. Ministry of Finance
D. Securities and Exchange Board of India (SEBI)
Answer: Option A
Solution (By JKSSB Mock Tests)
The Accounting Standards Board (ASB) constituted by ICAI formulates the accounting standards, which are then notified by the Ministry of Corporate Affairs.

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Practice More Accountancy and Book Keeping Questions

Question #1
The 'Roll-forward Procedures' in audit are performed to:
A. Postpone audit
B. Update audit findings from an interim date to the period end
C. Start audit early
D. Replace interim testing

Correct Answer: Option B


Explanation:
Roll-forward extends the conclusions from interim date to year-end.

Question #2
Personal and Real accounts are balanced and their closing balances are carried forward to:
A. Trading Account
B. Profit & Loss Account
C. Manufacturing Account
D. Next accounting period via Balance Sheet

Correct Answer: Option D


Explanation:
Real and Personal accounts reflect assets, liabilities, and equity; they are not closed but carried forward to the next period as opening balances.

Question #3
According to the Companies Act, which financial statement details cash inflows and outflows?
A. Cash Flow Statement
B. Statement of Changes in Equity
C. Statement of Profit and Loss
D. Balance Sheet

Correct Answer: Option A


Explanation:
The Cash Flow Statement provides historical information about changes in cash and cash equivalents, categorized into operating, investing, and financing activities.