1. Parties are considered to be related if one party has.

(except)
a. The ability to control the party
b. The ability to join other trading business
c. The ability to exercise significant influence over the other party
d. Joint control over the party
2. The power to participate in the financial and reporting policy decision of an entity, but not
control of those policies.
a. Significant Influence
b. Joint Control
c. Control
d. Compensation
3. These are entities for which the investment are accounted for by the equity method.
a. Venturer
b. Associates
c. Individuals
d. Key Management Personnel
4. These are those persons having authority and responsibility for planning, directing and
controlling the activities of the entity, directly or indirectly including the executive director or
non-executive director.
a. Key management personnel
b. Associates
c. Individuals
d. Venturer
5. These are owning directly or indirectly an interest in the voting power of the reporting entity
that gives them significant power of the reporting entity that gives them significant influence
over the entity and close family members such individulas.
a. Key management personnel
b. Associates
c. Individual
d. Venturer
6. A transfer of resource or obligations between related parties, regardless of whether a price is
charge.
a. Control
b. Joint Control
c. Significant Influence
d. Related Party Transaction
7. These are the following examples of related transaction. (Except)
a. Trading Business
b. Leases
c. Purchase and sale of goods
d. Rendering or receiving services
8. PAS24 provides that an entity shall disclose key management personnel aompensation in total
and for each of the following categories. (except)
a. PPE
 b. Short term employee benefits
c. Other long term
d. Termination benefits
9. These are include in unrelated parties. (Except)
a. Two entities simply because they have director or key management personnel in common
b. Providers of finance, trade unions, public utilities and government agencies in the course of
normal dealings with an entity by virtue only of those dealings.
c. Two venturers simply because they share joint control over a joint venture
d. Other entities controlled, jointly controlled or significantly influenced by the same
government.
10. This sets the price by reference to comparable goods sold in an economically comparable
market to a buyer unrelated to the seller.
a. Uncontrolled price method
b. Resale price method
c. A and b
d. None of these
11. This method is often used where goods are transferred between related parties before a sale to
an independent party is made
a. Uncontrolled price method
b. Resale price method
c. Cost plus method
d. No price method
12. This method seeks to add an appropriate mark up the suppliers cost.
a. Cost plus method
b. No price method
c. A and b
d. None of these
13. An entity that is controlled, jointly controlled or significantly influenced by a government.
a. Government related entity
b. Government
c. A and b
d. None of these
14. Refers to government, government agencies and similar bodies whether local, national or
international.
a. Government related entity
b. Government
c. A and b
d. None of these
15. A reporting entity is exempted from providing the normal disclosures for transaction with
a. A government that has control, joint control or significant influence over the entity
b. Other entities controlled, jointly controlled or significantly influenced over the entity
c. A and b
d. A only
16. As a minimum, the disclosure of related party transaction shall include:
 a. Short term employee benefits
b. Post employees benefits, for example retirement pension
c. A and b
d. None of these
17. PAS 24 provides that if there have been transactions between related parties, an entity shall
disclosed the
a. Nature of the related party relationship as well as information about transaction
b. The allowance for doubtful accounts related to the outstanding balance
c. A and b
d. None of these
18. These are the examples of related parties except
a. Trading business
b. Associates
c. Venturer
d. Individual
19. These are variety methods that used to price transaction between related parties.
a. Uncontrolled price method
b. Resale price method
c. A and b
d. None of these
20. Are those family members who be expected to influence, ooor be influence by, that individual in
their dealings with the entity.
a. A related party transaction
b. Close members of the family of an individual
c. A and b
d. None of these
21. The power over the investee or the power to govern the financial and operating policies of an
entity so as to obtain benefits.
a. Control
b. Significant Influence
c. Joint Control
d. None of these
22. Significant influence may be gained by share ownership of
a. 10%
b. 20%
c. 25%
d. 100%
ANSWERS

1. B
2. A
3. B
4. A
5. C
6. D
7. A
8. A
9. D
10. A
11. B
12. A
13. A
14. B
15. C
16. D
17. A
18. A
19. C
20. B
21. A
22. b

REFERENCES

-Conrado T. Valix