POYTECHNIC UNIVERSITY OF THE PHILIPPINES - TAGUIG CAMPUS

1) Republic Act 9298 is known as the

a) Revised Accountancy Law
b) Code of ethics for professional Accountants
c) Philippine Accountancy Act of 2004
d) Philippine Accountancy Law of 2004
2) Which of the following is not an objective of the Philippine Accountancy Act of 2004?
a) The standardization and regulation of accounting education.
b) The examination for registration of certified public accountants.
c) The supervision, control, and regulation of the practice of accountancy in the Philippines.
d) The development and improvement of accounting standards that will be generally accepted in the Philippines.
3) The practice of accountancy includes
a) Practice of Public Accountancy
b) Practice in Commerce and Industry
c) Practice in Education/Academe
d) All of the above.
4) A CPA is in public accounting practice when he/she
a) Represents his/her employer before government agencies on tax and other matters related to accounting.
b) Represents his/her clients before government agencies on tax and other matters related to accounting.
c) Teaches accounting, auditing, management advisory services, accounting aspect of finance, business law, taxation, and other
technically related subjects.
d) Holds, or is appointed to, in an accounting professional group in government or in a government-owned and /or controlled
corporation where decision making requires professional knowledge in the science of accounting.
5) Section 5 of the Rules and Regulations Implementing RA 9298 (IRR) provides that any position in any business or company in the
private sector which requires supervising the recording of financial transactions, preparation of financial statements, coordinating with
the external auditors for the audit such financial statements, and other related functions should be occupied by duly registered CPA. It
a) The business or company where such position exists has a paid up capital of at least P5,000,000, and/or annual revenue of at
least P10,000,000
b) The business or company where such position exists has a paid up capital of at least P10,000,000, and/or annual revenue of at
least P5,000,000
c) The section applies to all incumbent to the position.
d) The section applies only to persons to be employed after the effectivity of the Code of Ethics for Professional accountants in the
Philippines.
6) The members of the professional Regulatory Board of Accountancy shall be appointed by the
a) Philippines Institute of CPAs
b) Professional Regulation Commission
c) President of the Philippines
d) Association of CPAs in Public Practice
7) The following statements relate to the submission of nominations to the Board of Accountancy. Which is correct?
a) The Accredited National Professional organization of CPAs (APO) shall submit its nominations to the president of the Philippines
not later than sixty (60) days prior to the expiry of the term of an incumbent chairman or member.
b) The APO shall submits it nominations to the PRC not later than thirty (30) days prior to the expiry of the term of an incumbent
chairman or member.
c) If the APO fails to submit its own nominees to the PRC within the required period, the PRC in consultation with Board of
Accountancy shall submit to the president a list of the five (5)nominees for each position.
d) There should be adequate documentation to show the qualifications and primary field of professional activity
of each nominee.

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8) Which of the following is not a qualification of a member of the Board of Accountancy?

a) He/she must be a good moral character and must not have been convicted of crimes involving moral turpitude.
b) He/she must be a duly registered CPA with at least ten (10) years of work experience in the practice of
public accounting.
c) He/she must be a natural-born citizen and resident of the Philippines.
d) He/she must not be a director or officer of the APO at the time of his/her appointment.
9) The following statements relate to the term of office of the chairman and members of the Board of Accountancy (BOA). Which is false?
a) The chairman and members of BOA shall hold office for a term of three (3) years.
b) Any vacancy occurring within the term of a member shall be filled up for the unexpired portion of the term only.
c) No person who has served two successive complete terms as chairman or member shall be eligible for reappointment until the
lapse of two (2) years.
d) Appointment to fill up an unexpired term is not to be as a compete term.
10) The Board of Accountancy has the power to conduct an oversights into the quality of audits of financial statements through a review of
the quality control measures instituted by auditors in order to ensure compliance with the accounting and auditing standards and
practices. This power of BOA is called
a) Quality review
b) Peer review

c) Appraisal
d) Quality control

11) Which of the following is the function of Board of Accountancy?

a) To prescribe and adapt the rules and regulations necessary for carrying out the provisions of the Philippines Accountancy Act of 2004
b) To supervise the regulation, licensure, and practice accountancy in the Philippines.
c) To issue, suspend, revoke, or reinstate the certificate of registration for the practice of the accountancy profession.
d) All of the above.
12) The Board of Accountancy shall elect a vice-chairman from among its members for a term of
a) Two (2) years
c) Three (3) years
b) One (1) year
d) Five (5) years
13) the PRC upon the recommendation of the Board of Accountancy (BOA) shall create a council to assist the accountancy education in the
Philippines to make the Filipino CPA a globally competitive. This council is to be known as the
a) CPAs in Education Council
b) Council of CPAs in Education

c) educational Technical Council

d) CPAs in the Academe Council

14) Which of the following is not a qualification of an applicant for the CPA licensure examination?
a) He/she is a Filipino citizen
b) He/she is of good moral character
c) He/she is at least 21 years of age
d) He/she is a holder of the degree of Bachelor of Science in Accountancy
15) To pass the CPA licensure examination, a candidate must obtain a
a) General average of sixty-five percent (65%), with no grades lower than seventy-five percent (75%) in any given subject.
b) General average of sixty-five percent (75%), with no grades lower than seventy-five percent (65%) in any
given subject.
c) General average of seventy-five percent (75%)
d) General average of sixty-five percent (65%)
16) A candidate who obtain the rating of seventy-five percent (75%) and above in a least a majority of the subjects shall receive a
conditional credit for the subjects passed. He/she shall take an examination in the remaining subjects within
a) Two (2) years from the preceding examination
b) Three (3) years from the preceding examination
c) One (1) years from the preceding examination
d) Five (5) years from the preceding examination

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17) The Board of Accountancy shall submit to the PRC the ratings obtained by each candidate within ___ days after the examination, unless
extended for just case.
10
2
a)
c)
5
3
b)
d)
18) Which of the following shall be issued to the examinees that pass the CPA licensure examination?
a) Certification of registration and death certificate
b) Professional identification card and warrant of arrest
c) Certification of registration and professional identification card
d) Warrant of arrest and death certificates
19) Which of the ff statements concerning the issuance of Certificate of Registration and Professional Identification Cards to successful
examinees is correct?
a) The Certificate of registration issued to examinees is renewable every three (3) years.
b) The Professional Identification Card issued to successful examinees shall remain in full force and effect until withdrawn,
suspended or revoked in accordance with RA 9298.
c) The BOA shall not register and issue a Certificate of Registration and Professional Identification Card to any successful examinee
of unsound mind.
d) The BOA may, after the expiration of three (3) years from the date of revocation of Certificate of Registration, reinstate the validity
of a revoked Certificate of Registration.
20) The following statements relates to practice of public accountancy. Which statement is incorrect?
a) Single practitioners and partners or partnerships organized for the practice of public accountancy shall be registered CPAs in the
Philippines.
b) From the effectivity of RA 9298, a Certificate of Accreditation shall be issued to CPAs in public practice only upon showing, in
accordance with rules and regulations promulgated by the Board and approved by the PRC, that such has acquired minimum of
two (2) years meaningful experience in any of the areas of public practice including taxation.
c) A partnership engaged in the practice of accountancy may be carried on in the form of general professional partnership (GP) or a
limited liability partnership (LLP) organized in accordance with Philippine Laws.
d) The Securities and Exchange Commission (SEC) shall not register any corporation organized for the practice of accountancy.
21)
Which of the following statements concerning to ownership of working papers is incorrect?
a) All working papers made by a CPA and his/her staff in the course of an examination remain the property of such CPA in the
absence of written agreement between the CPA and the client to the contrary.
b) Working papers includes schedules and memoranda presented and submitted by the client of the CPA.
c) Working papers includes reports submitted by a CPA to his/her client.
d) Working papers shall be treated confidential and privileged unless such documents are required to be produced through
subpoena issued by any court, tribunal or government regulatory or administrative body.
22) The following statement relate to the use of seal by a CPA to his/her client Which is incorrect?
a) A registered CPA shall obtain and use a seal of a design that will suit his/her taste.
b) The seal should be of a design prescribed by the Board bearing the CPA's name, registration number, and title.
c) The auditor's report shall be stamped with the CPA's seal, indicating therein his/her current Professional Tax Receipt (PTR)
number, date and place of payment when filed with government authorities or when used professionally.
d) The seal of a CPA shall be circular in form.
23) A special/temporary permit may be issued by the BOA to the ff persons, except
a) A foreign CPA called for consultation or for a specific purpose which, in the judgment of the BOA, is essential for the development
of the country regardless of whether there are Filipino CPAs who are qualified for such consultation or specific purposes.
b) A foreign CPA engaged as professor, lecturer or critic in field essential to accountancy education of the Philippines and his/her
engagement is confined to teaching only.

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c) A foreign CPA who is an international recognized expert or with specialization in any branch of accountancy and his/her service is
essential for the advancement of accountancy in the Philippines.
d) A foreign CPA called for consultation or for a specific purpose which, in the judgment of the BOA, is essential for the development
of the country regardless of whether there are no Filipino CPAs who are qualified for such consultation or specific purposes.
24) Any person 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) A fine not more than P50,000.00
b) Imprisonment for a period not exceeding two years
c) A fine less than P50,000.00 or by imprisonment for a period not exceeding two years or both.
d) Lethal injection
25) Which of the following is the accredited national professional organization of CPAs (APO)?
a) PICPA
c) AASB
b) ASC
d) FRSC
26) Which of the following statements concerning the use of firm or partnership name is incorrect?
a) In case of an individual CPA, he/she shall do business under his/her registered name with the BOA and the PRC, and as printed
in his/her BOA certificate (for example, Juan Puruntong, CPA)
b) In the case of a firm, it shall do business under its duly registered and authorized firm name appearing in the registration
documents issued by the Department of Trade and industry (DTI) and other government offices and such firm name shall include
the real name of the sole proprietor as printed in his/her CPA certificate (for example, Arnulfo Gumamela and Associates)
c) In case of a registered partnership, it shall do business under its name as indicated in its current Articles of Partnership and
Certificate of Registration issued by the Securities and Exchange Commission (SEC) (for example, Tanya, Sam, and Jervi, CPAs)
d) A CPA shall practice only under an individual, firm, or partnership name in accordance with Philippine laws and shall not include
any fictitious name but may indicate specialization.
27) A partner surviving death or withdrawal of all other partners in a partnership may continue to practice under the partnership name for a
period of not more than ____ years after becoming a sole proprietor.
a)
1
c)
3
b)
2
d)
4
28) The death or disability of an individual CPA and/or the dissolution and liquidation of a firm or a partnership of CPAs shall be reported to
the BOA not ;after than ___ days from the date of such death, dissolution and liquidation.
a)
15
c)
60
b)
30
d)
90
29) As define in the Annex C of IRR, this refers to the inculcation, assimilation and acquisition of knowledge, skills, proficiency and ethical
and moral values, after the initial registration of a professional that raise and enhance the professional's technical skills and
a) Professional development
b) Continuing Professional Education
c) Continuing Professional Development
d) Professional growth and Development
30) The PRC CPE Council shall assist the BOA in implementing its CPE program. Which of the following statements is incorrect concerning
the Council's composition?
a) The PRC CPE Council shall be composed of a chairperson and two (2) members.
b) The chairperson shall be chosen from among the members of the BOA by the PRC.
c) The first member shall be the president or, in his/her absence or incapacity, any officer chosen by the Board of Directors of PICPA
d) The second member shall be the president, or in his/her absence or incapacity, any officer of the organization of deans or
department heads of schools, colleges or universities offering the degree requiring ;licensure examination.
31) The following statements relate to CPE credit units. Which is incorrect?
a) The total CPR credit units for registered accounting professionals shall be sixty (60) credit units for three (3) years, provided that a
minimum of fifteen (15) credit units shall be earned in each year.

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b) Any excess credits in one year may be carried over to the succeeding years within the three year period.
c) Excess credit earned may be carried over to the next three year period including credit units earned for
doctoral and master's degree
d) One credit hour of CPE program, activity or source shall be equivalent to one (1) credit unit
32) The following statements relate to the exemption form CPE requirements. Which is false?
a) A registered professional shall be permanently exempted from CPE requirements upon reaching the
age of 60 years old.
b) A registered professional shall be permanently exempted from CPE requirements upon reaching the age of 65 years old.
c) A registered professional who is working and practicing his/her profession abroad shall be temporarily exempted from compliance
with CPE requirements during the period of his or her stay abroad provided that he/she has been out of the country for at least
two years immediately prior to the date of renewal
d) A registered professional who is furthering his/her studies abroad shall be temporarily exempted from compliance with CPE
requirements during the period of his or her stay abroad provided that he/she has been out of the country for at least two years
immediately prior to the date of renewal
33) Which of the following statements concerning a CPA's disclosure of confidential client information is ordinary correct?
a) Disclosure may be made to any party on consent of the client
b) Disclosure should not be made even if such disclosure will protect the CPA's professional interests in legal proceedings
c) Disclosure should be made only if there is a legal or professional duty to make the disclosure.
d) Disclosure may be made to any government agency without subpoena.
34) Listed below are names of four CPA firms and pertinent facts relative to each firm. Unless otherwise indicated, the individuals named
are CPAs and partners, and there are no other partners. Which is a violation of the Implementing Rules and Regulations and RA 9298?
a) Tin, Ton and Tan, CPAs (Tin died about five years ago, Ton and Tan are continuing the firm)
b) Pol and Bon, CPAs (The name of Cua, a third partner, is omitted from the partnership name.)
c) Joni and Jona, CPAs (Joni died about three years ago; Jona is continuing the firm as sole proprietor)
d) Elias and Co., CPAs (The firm has ten other partners who are all CPA)
35) The following statements relate to some of the provisions of RA 9298. Which is correct?
a) Audit working papers are generally the property of the company whose financial statements were audited.
b) After three (3) years, subject to certain condition, the Board of Accountancy may order the reinstatement of a CPA whose
certificate of registration has been revoked.
c) The penal provision (Section 36) of RA 9298 applies only to the violation of any of the provision of RA 9298 because it's
implementing Rules and Regulations are enforceable.
d) It shall be the primary duty of the PRC and the BOA to effectively enforce the provisions of RA 9298.

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of 2004.

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