CRC-ACE The CPA Professional Review School

__________________________________________________________________

AUD TH QUIZZER MODULE 1 RA 9298 AND THE PROFESSIONAL PRACTICE

1. Which of the following is not a valid ground for suspension or removal of a member of the Board of
Accountancy?
a. Being investigated of a crime involving moral turpitude.
b. Neglect of duty or incompetence
c. Manipulating the CPA licensure examination results.
d. Violating RA9298.
2. The standard setting body created by the PRC to promulgate accounting standards that will be
generally accepted in the Philippines is known as
a. Financial Reporting Standards Council (FRSC)
b. Auditing Standards and Practices Council (ASPC)
c. Accounting Standards Council (ASC)
d. Auditing and Assurance Standards Council (AASC)
3. The Financial Reporting Standards Council shall be composed of a chairman and
a. 14 members b. 17 members c. 8 members d. 15 members

4. The sector that is most represented in the Auditing and Assurance Standards Council is the
a. Commerce and Industry
b. Academe
c. Public Practice
d. Government
5. Which of the following is not represented in the FRSC?
a. ACPAPP
b. FINEX
c. Commission on Audit
d. Securities and Exchange Commission

6. The Professional Regulatory Board of Accountancy shall be composed of a chairman and (LIST A)
members to be appointed by the President of the Phils. from a list of (LIST B) recommendees for
each position and ranked by the Commission, from a list of five (5) nominees for each position
submitted by <LIST C>.
LIST A LIST B LIST C
a. 6 5 BOA
b. 7 5 PRC
c. 7 3 PICPA
d. 6 3 APO
7. The PICPA shall submit its nominations with supporting documentation
a. Within 60 days prior to the expiry of the term of an incumbent member or chairman
b. Within 90 days prior to the expiry of the term of an incumbent member or chairman
c. Not later than 60 days prior to the expiry of the term of an incumbent member or chairman
d. Not later than 90 days prior to the expiry of the term of an incumbent member or chairman
8. Which of the following statements about the composition of the Board of Accountancy is incorrect?
a. The four sectors in the practice of accountancy shall as much as possible be equitably represented
in the Board.
b. The Board shall be composed of a chairman and six members.

This study source was downloaded by 100000851031134 from CourseHero.com on 09-06-2022 03:13:35 GMT -05:00

https://www.coursehero.com/file/80797204/AUD-TH-QUIZZER-MODULE-1-RA-9298-AND-THE-PROFESSIONAL-PRACTICE-Set-Bpdf/
 CRC-ACE The CPA Professional Review School
__________________________________________________________________

c. The members of the Board shall be appointed by the President of the Philippines from a list of
three recommendees for each position and ranked by the Commission, from a list of five
nominees for each position submitted by Accredited Professional Organization (APO).
d. The Board shall elect a vice- chairman from among its members to serve for a term of three
years.
9. The following statements relate to the term of office of the chairman and the members of the Board
of Accountancy (BOA).
I. No person who has served two (2) successive complete terms shall be eligible for
reappointment until the lapse of one (1) year
II. Appointment to fill up an unexpired term is not to be considered a complete term
III. A person may serve in the Board of Accountancy for eight consecutive years.
IV. A person may serve in the Board for more than 12 years.
a. All statements are true c. Only IV is false
b. All statements are false d. Only I and II are true
10. Which of the following is not among the qualifications of a member of the Board of Accountancy?
a. He/ She must have at least 10 years of experience in the practice of accountancy
b. He/ She must be a natural-born CPA and a resident of the Philippines
c. He/ She must not be a director or officer of the accredited national professional organization at
the time of appointment.
d. He/ She must not have any direct or indirect pecuniary interest in any school offering BS
Accountancy degree

11. How many credit units per hour will be earned by a participant in a CPE seminar?
a. 1 CU per hour c. 3 CU per hour

b. 5 CU per hour d. 2 CU per hour

12. Who is not permitted by RA 9298 to practice public accountancy?

a. A general partnership.
b. A limited liability partnership.
c. A sole proprietorship.
d. A corporation, whose stockholders are all CPAs.
13. According to RA 9298, if a partner in a two-member partnership dies, the surviving partner may
continue to practice as an individual under the existing firm title which includes the deceased
partner’s name
a. For a period of time not to exceed five years.
b. For a period of time not to exceed two years.
c. Indefinitely.
d. Until the partnership pay-out to the deceased partner’s estate is terminated.
14. A CPA shall not practice under a firm name that includes or indicates the following, except
a. Fictitious name
b. Specialization
c. Misleading as to the type of organization
d. Name(s) of past partner(s) in the firm name of the successor partnership.

This study source was downloaded by 100000851031134 from CourseHero.com on 09-06-2022 03:13:35 GMT -05:00

https://www.coursehero.com/file/80797204/AUD-TH-QUIZZER-MODULE-1-RA-9298-AND-THE-PROFESSIONAL-PRACTICE-Set-Bpdf/
 CRC-ACE The CPA Professional Review School
__________________________________________________________________

15. Below are names of four CPA firms and pertinent facts relating to them. Unless otherwise
indicated, the individuals named are CPAs and partners and there are no other partners. Which
firm name and related facts indicate a violation of the Philippine Accountancy Act of 2004?
a. Binhi, Binti and Bigti, CPAs (Bigti died about 5 years ago; Binhi and Binti are continuing the firm.)
b. Tiu and Ramos, CPAs ( The name of R. Hermosilla, CPA, a third partner is omitted from the firm
name.)
c. Bitay and Bigo, CPAs (Bitay died about three years ago; Bigo is continuing the firm as a sole
practitioner.)
d. R. Hermosilla and Co., CPAs (R. Hermosilla has ten other partners who are all CPAs)

16. CPAs, firms and partnerships of CPAs engaged in the practice of public accountancy including
partners and staff members thereof, shall register with the Commission and the Board, such
registration to be renewed every three years on or before
a. Apr 15, Notary date of Articles
b. Sep 30, SEC Registration month
c. Dec 31, BIR Registration month
d. May 31, license expiry of Gen.Manager

17. Which of the following is not one of the functions of the Board of Accountancy?
a. To supervise the registration, licensure and practice of accountancy in the
Philippines

b. To issue, suspend, revoke, or reinstate the certificate of registration for the

practice of the accountancy profession

c. To prescribe and/or adopt a code of ethics for the practice of accountancy

d. To adopt an official seal of the Commission.

18. The letters “CPA” shall be engraved in what part of the CPA’s seal?
a. Upper portion of the space between the bigger and smaller circle.
b. Lower portion of the space between the bigger and smaller circle.
c. Left and right portion of the space between the bigger and smaller circle and in the middle of the
smaller circle.
d. Middle of the smaller circle.
19. Which of the following is not one of the functions of the Board of Accountancy as specified in the RA
9298?
a. To look from time to time into the conditions affecting the practice of the accountancy profession.
b. To appoint members of the AASC
c. To investigate violations of RA 9298 and its IRRs.
d. To determine and prescribe minimum requirements leading to the admission of candidates to the
CPA examination.
20. A CPA certificate is evidence of
a. Independence as a professional.
b. Basic competence at the time of certification.
c. Membership in the accredited association.
d. Completion of continuing professional education program.
3

This study source was downloaded by 100000851031134 from CourseHero.com on 09-06-2022 03:13:35 GMT -05:00

https://www.coursehero.com/file/80797204/AUD-TH-QUIZZER-MODULE-1-RA-9298-AND-THE-PROFESSIONAL-PRACTICE-Set-Bpdf/
 CRC-ACE The CPA Professional Review School
__________________________________________________________________

21. The term of office of each member of AASC and FRSC is

a. 2 years, renewable c. 3 years, non-renewable

b. 4 years, non-renewable d. 3 years, renewable

22. Which of the following statements about Accounting Standard Setting Council is correct?
a. The accounting standard setting body is known as Accounting Standards Council (ASC).
b. The accounting standard setting body is composed of a chairman and fifteen members.
c. The chairman and members of the standard setting council shall be appointed by the Commission
upon the recommendation of the Board in coordination with the accredited national professional
organization.
d. The public accounting practice is the sector that is most represented in the accounting standard
setting council.
23. Which of the following best describes the function of Auditing and Assurance Standards Council?
a. To monitor full compliance by auditors to PSAs
b. To promulgate auditing standards, practices and procedures that shall be generally accepted by
the accounting profession in the Philippines
c. To assist the Board of Accountancy in conducting administrative proceedings on erring CPAs in
public practice
d. To undertake continuing research on both auditing and financial accounting in order to make
them responsive to the needs of the public
24. The following are represented both to the Financial Reporting Standards Council (FRSC) and Auditing
and Assurance Standards Council (AASC), except
a. Commission on Audit

b. Bureau of Internal Revenue

c. Securities and Exchange Commission

d. Board of Accountancy

25. The following statements relate to the RA9298. Which statement is true?
a. Within two years, subject to certain conditions, the Board of Accountancy may order the
reinstatement of a CPA whose certificate of registration has been revoked.
b. The Professional Regulation Commission has the authority to remove any member of the Board
of Accountancy for negligence, incompetence, or any other just cause.
c. Insanity is not a ground for proceeding against a CPA.
d. No person shall be appointed as a member of the Board of Accountancy unless he has been in
the practice of accountancy for at least 10 years, among others.

26. The following statements relate to roster of CPAs. Identify the incorrect statement.
a. A roster showing the names and place of business of all registered CPAs shall be prepared and
updated by the Board.
b. Copies of the roster shall be made available to any party as may be deemed necessary.
c. The Board, upon approval of the Commission, may delegate the preparation of this roster to
the APO.

This study source was downloaded by 100000851031134 from CourseHero.com on 09-06-2022 03:13:35 GMT -05:00

https://www.coursehero.com/file/80797204/AUD-TH-QUIZZER-MODULE-1-RA-9298-AND-THE-PROFESSIONAL-PRACTICE-Set-Bpdf/
 CRC-ACE The CPA Professional Review School
__________________________________________________________________

d. The publication of the roster in the official gazette or in any major news paper of public
circulation shall be deemed compliance with the requirement of RA 9298.
27. Any person who shall violate any of the provisions of the Accountancy Act or any of its implementing
rules and regulations promulgated by the Board of Accountancy subject to the approval of the PRC,
shall upon conviction , be punished by
a. Lethal injection
b. A fine of not more than P50,000
c. An imprisonment for a period not exceeding two years
d. Both b and c.
28. PRC- CPE Council differs from AASC and FRSC in that
a. PRC-CPE Council members are appointed by the Commission.
b. PRC-CPE Council is composed of a chairman and 14 members
c. The chairperson of PRC-CPE Council is elected by the members of the Board from among
themselves.
d. PRC-CPE Council members are co-terminus with the President of the Philippines.
29. Which statement is correct regarding CPE requirements for renewal of professional license?
a. The total CPE credit units required for CPAs shall be sixty (60) units for three (3) years, provided
that a minimum of twenty (20) credit units shall be earned in each year.
b. A registered professional shall be permanently exempted from CPE requirements upon
reaching the age of 60 years old.
c. A registered professional who is working abroad shall be temporarily exempted from
compliance with CPE requirement during his/her stay abroad, provided that he/she is has been
out of the country for at least one year immediately prior to the date of renewal.
d. Those who failed to renew professional licenses for a period of five (5) continuous years from
initial registration, or from last renewal shall be declared delinquent.
30. Unless otherwise exempted, registered CPAs in the practice of accountancy who have not
completed the CPD requirements shall
a. Be dropped from the roster of CPAs.
b. Not be allowed to renew their professional licenses.
c. Present evidence to the satisfaction of the Board that they have the necessary knowledge, skills
and experience to discharge their professional responsibility.
d. Submit a letter addressed to the Board indicating the reasons for not complying with the CPE
requirements.

31. The following are the qualifications of applicants for CPA Examinations, except
I. Must be a natural born Filipino citizen
II. Must be a BS Accountancy degree holder
III. Must be of good moral character
IV. Must be at least 21 years old
a. I only b. II and IV c. IV only d. I and IV

32. Which of the following statements is correct?

a. Any candidate who fails in two (2) complete CPA board examinations will no longer be allowed
to take another set of examination.

This study source was downloaded by 100000851031134 from CourseHero.com on 09-06-2022 03:13:35 GMT -05:00

https://www.coursehero.com/file/80797204/AUD-TH-QUIZZER-MODULE-1-RA-9298-AND-THE-PROFESSIONAL-PRACTICE-Set-Bpdf/
 CRC-ACE The CPA Professional Review School
__________________________________________________________________

b. Any candidate who fails in two (2) complete CPA board examinations shall be disqualified from
taking another set of examinations unless he/she submits evidence to the satisfaction of the
Board that he/she enrolled in and completed at least 21 units of subjects given in the licensure
examination.

c. The examination in which the candidate was conditioned and the removal examination on the
subject in which he/she failed shall be counted as one complete examination.

d. The refresher course should be completed within two (2) years from the preceding examination.

33. The Board of Accountancy shall submit to the PRC the ratings obtained by each candidate within
_____ days after the examination, unless extended for just cause.
a. 10 b. 5 c. 2 d. 3

34. Which of the following shall be issued to a candidate who passes the CPA licensure examination?
a. Certificate of accreditation to practice public accountancy and PRC ID.
b. Personal identification card and a certificate of accreditation to practice public accountancy
c. Certificate of registration and professional identification card
d. Certificate of full compliance and PRC ID.
35. The Board of Accountancy may issue certificate of registration and professional identification card to
any successful examinee:
a. Of unsound mind
b. Convicted by a court of political offense.
c. Guilty of immoral or dishonorable conduct.
d. Who has falsely represented himself/ herself in his /her application for examination.

This study source was downloaded by 100000851031134 from CourseHero.com on 09-06-2022 03:13:35 GMT -05:00

https://www.coursehero.com/file/80797204/AUD-TH-QUIZZER-MODULE-1-RA-9298-AND-THE-PROFESSIONAL-PRACTICE-Set-Bpdf/
Powered by TCPDF (www.tcpdf.org)