I85PREP
⌘ K
CCPA Prueba de Deontología study materials
CCPA Prueba de Deontología study resources

CCPA Prueba de Deontología practice questions

One question at a time. Build your CCPA Prueba de Deontología understanding.

First 50 of 190 questions. Each one lists the choices, the correct answer, and an explanation. The checker at the top of this page saves progress in this browser when it is available.

Continue in the practice tool above to load more questions, 50 at a time.

Question 1Colegio ethics and accountancy foundations

Which set lists the five pillars that the CCPA Código de Ética Profesional identifies as supporting the professional practice of a Contador Público Autorizado?

  1. Experience, Transparency, Independence, Credibility, and Professional Updating Correct answer.
  2. Integrity, Objectivity, Professional Competence and Due Care, Confidentiality, and Professional Behavior
  3. Self-interest, Self-review, Advocacy, Familiarity, and Intimidation
  4. Professional Skepticism, Materiality, Audit Evidence, Sampling, and Going Concern

Explanation

The current CCPA Code expressly names five pillars: experience (experiencia), transparency (transparencia), independence (independencia), credibility (credibilidad), and professional updating (actualización profesional). When the CCPA Code does not address a matter, it directs CPAs to the IESBA Code, whose five fundamental principles are a related but different list.

Question 2Colegio ethics and accountancy foundations

According to the conceptual framework of the CCPA Código de Ética Profesional, what are the five categories of threats that can compromise a CPA's compliance with the fundamental principles?

  1. Self-interest, Self-review, Advocacy, Familiarity, and Intimidation Correct answer.
  2. Financial risk, Operational failure, Regulatory non-compliance, Legal liability, and Reputational damage
  3. Commercial competition, Fee disputes, Administrative delay, Professional jealousy, and Incompetence
  4. Conflict of interest, Negligence, Breach of secrecy, Defamation, and Misrepresentation

Explanation

The conceptual framework categorizes threats into five distinct groups: Self-interest threat (Interés propio), Self-review threat (Auto-revisión), Advocacy threat (Intercesión o Abogacía), Familiarity threat (Familiaridad), and Intimidation threat (Intimidación). When threats are not at an acceptable level, appropriate safeguards must be applied.

Question 3Colegio ethics and accountancy foundations

A Costa Rican CPA is engaged by a commercial client to design and implement its internal accounting records and prepare the annual financial statements. The client subsequently requests the same CPA to perform the statutory financial statement audit. Which ethical threat is primarily created?

  1. Self-review threat (Amenaza de auto-revisión) Correct answer.
  2. Advocacy threat (Amenaza de abogacía)
  3. Familiarity threat (Amenaza de familiaridad)
  4. Intimidation threat (Amenaza de intimidación)

Explanation

A self-review threat occurs when a CPA audits or reviews their own work or results previously prepared by themselves or their firm. Performing accounting and record-keeping services and subsequently auditing those same financial statements creates a significant self-review threat that compromises objectivity, which cannot be eliminated with safeguards for public interest entities.

Question 4Colegio ethics and accountancy foundations

The fundamental principle of Objectivity (Objetividad) under the CCPA Code of Ethics requires that a Contador Público Autorizado must:

  1. Not compromise professional or business judgment because of bias, conflict of interest, or undue influence of others Correct answer.
  2. Disclose a bias after issuing the report but leave the affected professional judgment unchanged
  3. Avoid only actual conflicts of interest; perceived undue influence does not require evaluation
  4. Accept management's preferred accounting treatment whenever management assumes responsibility for it

Explanation

Objectivity imposes an obligation on all CPAs not to compromise their professional or business judgment because of bias, conflict of interest, or undue influence of third parties. A CPA must maintain impartiality and intellectual honesty in all professional evaluations.

Question 5Colegio ethics and accountancy foundations

What is the key distinction between independence of mind (independencia mental) and independence in appearance (independencia en apariencia) under CCPA professional standards?

  1. Independence of mind is the state of mind permitting unbiased judgment without compromise, while independence in appearance requires avoiding circumstances that would lead a reasonable third party to conclude integrity was compromised Correct answer.
  2. Independence of mind applies only to internal audit, while independence in appearance applies exclusively to external audit
  3. Independence of mind is evaluated by the CCPA Fiscalía, while independence in appearance is evaluated only by client shareholders
  4. Independence of mind refers to technical accounting certifications, while independence in appearance refers to tax return preparation

Explanation

Independence of mind is the state of mind that permits expressing a conclusion without being affected by influences that compromise professional judgment (integrity, objectivity, and professional skepticism). Independence in appearance requires the avoidance of facts and circumstances so significant that a reasonable and informed third party would conclude that integrity or objectivity was compromised.

Question 6Colegio ethics and accountancy foundations

The proposed engagement partner for an audit in Costa Rica holds a direct financial interest in the prospective audit client. What must happen before that partner and firm can accept the engagement?

  1. The partner must dispose of the direct financial interest before the audit engagement begins Correct answer.
  2. The partner may retain the interest if another partner signs the auditor's report
  3. The partner may retain the interest if its value is below the audit fee
  4. The partner may retain the interest after disclosing it to management and those charged with governance

Explanation

A direct financial interest in an audit client held by the proposed engagement partner creates a self-interest threat that cannot be reduced to an acceptable level by disclosure or a different report signer. The interest must be disposed of before the engagement begins.

Question 7Colegio ethics and accountancy foundations

An engagement partner in Costa Rica has served for seven cumulative years on the audit of a public interest entity. Under the independence provisions applied by the CCPA Code, what follows?

  1. The prolonged-association provisions require rotation, and the engagement partner enters a five-year cooling-off period Correct answer.
  2. Disclosure to those charged with governance permits the partner to continue indefinitely
  3. A concurrent engagement quality review permits two more years without rotation
  4. The partner may continue if all financial interests in the client have been disposed of

Explanation

For a public interest entity, the applicable independence provisions cap an engagement partner's cumulative time-on period at seven years. Rotation then applies, and an engagement partner observes a five-year cooling-off period. The rule addresses familiarity and self-interest threats arising from prolonged association.

Question 8Colegio ethics and accountancy foundations

Under the principle of Professional Competence and Due Care (Diligencia y Competencia Profesional), what is an ongoing legal and professional obligation of every active CPA in Costa Rica?

  1. Maintain professional knowledge and skill at the level required to ensure clients receive competent service based on current technical and legal developments Correct answer.
  2. Rely on the knowledge held at the date of incorporation unless CCPA changes the CPA's membership number
  3. Accept an engagement outside the team's competence whenever an external specialist might become available later
  4. Update only tax knowledge because accounting and auditing standards remain fixed after adoption

Explanation

Professional Competence and Due Care requires continuous professional development and due diligence. A CPA must maintain technical proficiency based on current legislation, IFRS/NIIF, NIA, and CCPA circulars, ensuring that professional services are rendered competently and conscientiously.

Question 9Colegio ethics and accountancy foundations

A CPA is approached by Company X to conduct due diligence for acquiring a commercial target. The target company is Company Y, which is also an ongoing advisory client of the same CPA. What ethical conflict exists and what action must the CPA take?

  1. A significant conflict of interest exists; the CPA must disclose the conflict to both parties and obtain written informed consent or withdraw from one or both engagements Correct answer.
  2. No conflict exists because advisory engagements do not involve the expression of an audit opinion
  3. The CPA must immediately notify the Ministerio Público without informing either client
  4. The CPA may proceed secretly as long as separate junior assistants work on each file

Explanation

Representing both the prospective buyer (Company X) and the prospective seller/target (Company Y) creates an acute conflict of interest. The CPA must evaluate threats to objectivity and confidentiality, notify both clients, obtain written informed consent, implement effective safeguards (such as separate teams and information barriers), or withdraw if safeguards are inadequate.

Question 10Colegio ethics and accountancy foundations

A prospective client asks CPA Alvarez to provide a second opinion (segunda opinión) regarding an accounting treatment applied by the client's current statutory auditor, CPA Bolaños. What ethical procedure must CPA Alvarez follow?

  1. Evaluate whether the available facts are complete and, with the client's permission, communicate with CPA Bolaños when that is needed to obtain relevant information Correct answer.
  2. Provide an immediate contrary opinion to win the statutory audit engagement for the upcoming year
  3. Refuse to speak with the prospective client because second opinions are legally classified as professional interference
  4. Publish the disagreement in a public press release before communicating with either party

Explanation

A second opinion based on incomplete facts can threaten professional competence and due care. The CPA evaluates the significance of that threat and uses safeguards, which may include obtaining client permission to communicate with the incumbent accountant and describing any limitations surrounding the opinion.

Question 11Colegio ethics and accountancy foundations

Under the principle of Professional Behavior (Comportamiento Profesional), a CPA must comply with relevant laws and regulations and avoid any conduct that:

  1. The CPA knows or should know might discredit the public accounting profession Correct answer.
  2. Results in a financial loss for the client during a general economic recession
  3. Involves charging professional fees equal to the CCPA minimum tariff
  4. Consists of testifying as a neutral expert witness before a criminal tribunal

Explanation

The principle of Professional Behavior obligates every CPA to comply with relevant laws and regulations and avoid any action or omission that the professional knows, or should know, may bring discredit to the profession of public accounting.

Question 12Colegio ethics and accountancy foundations

During the annual audit of an industrial company, management offers the entire audit team an all-expenses-paid luxury resort vacation in Guanacaste. Under the CCPA Code of Ethics, how should the audit partner address this offer?

  1. Reject the offer, because accepting significant gifts or hospitality creates severe self-interest and familiarity threats that compromise objectivity Correct answer.
  2. Accept the offer if the resort vacation takes place after the audit opinion has been signed and delivered
  3. Accept the offer provided that the monetary value is declared as taxable income on the audit firm's income tax return
  4. Accept the offer only for junior team members while senior managers and partners decline

Explanation

Gifts and hospitality that are not trivial and inconsequential create severe self-interest and familiarity threats to objectivity. An all-expenses-paid luxury vacation clearly exceeds customary commercial courtesy and must be refused by all members of the audit team.

Question 13Colegio ethics and accountancy foundations

An audit client is involved in a contentious tax lawsuit before the Tribunal Fiscal Administrativo. The client requests that its independent audit partner act as its legal advocate and expert witness arguing against the tax administration. What threat is created?

  1. Advocacy threat (Amenaza de abogacía), which severely impairs the auditor's objectivity regarding disputed tax liabilities Correct answer.
  2. Intimidation threat exclusively, with no impact on independence of mind
  3. No threat arises because CPAs are encouraged to vigorously defend their clients' financial interests
  4. Self-review threat only, because tax calculations are purely mathematical

Explanation

Acting as an advocate for an audit client in litigation or dispute resolution before a judicial or administrative tribunal creates an advocacy threat. The auditor's objectivity is compromised because the professional is publicly defending the client's position, impairing the impartial evaluation of tax provisions and contingencies on the financial statements.

Question 14Colegio ethics and accountancy foundations

What is the primary statutory charter governing the creation and legal monopoly of the public accounting profession in Costa Rica?

  1. Ley N° 1038 (Ley de Creación del Colegio de Contadores Públicos de Costa Rica) Correct answer.
  2. Ley N° 1269 (Ley Orgánica del Colegio de Contadores Privados)
  3. Ley N° 7092 (Ley del Impuesto sobre la Renta)
  4. Ley N° 7337 (Ley Orgánica del Banco Central de Costa Rica)

Explanation

Ley N° 1038 of 19 August 1947, as amended, created the Colegio de Contadores Públicos de Costa Rica and regulates the profession of Contador Público Autorizado, including protected public-accounting functions and certifications carrying fe pública.

Question 15Colegio ethics and accountancy foundations

In Costa Rican administrative and commercial law, what is the legal significance of the 'public faith' (fe pública) granted to a Contador Público Autorizado under Ley N° 1038?

  1. Acts, balance sheets, and financial certifications attested by a CPA carry a rebuttable presumption of truth and authenticity until contrary evidence establishes otherwise Correct answer.
  2. The attestation is conclusive proof that no court or regulator may rebut
  3. The presumption covers management information that the CPA did not examine or attest
  4. The attestation transfers responsibility for preparing the underlying financial information from management to the CPA

Explanation

Public faith (fe pública) gives qualifying documents and certifications signed and sealed by an active CPA a legal presumption of veracity and authenticity. The presumption is rebuttable (iuris tantum): it strengthens the evidentiary status of the attestation but does not make it immune from contrary proof or regulatory scrutiny.

Question 16Colegio ethics and accountancy foundations

Under Article 30 of the Reglamento to Ley N° 1038 (Decreto Ejecutivo N° 45505-MEP), which of the following is a mandatory prerequisite for incorporation as a Contador Público Autorizado?

  1. Holding an eligible Licenciatura in Contaduría Pública, Administración de Empresas con énfasis en Contabilidad, or Auditoría; meeting the qualifying-experience and moral-solvency requirements; and completing the Seminario de Deontología Correct answer.
  2. Holding a Bachillerato universitario in accounting plus five years of general office experience
  3. Holding any Licenciatura degree plus two years of work in a financial institution
  4. Holding an eligible accounting degree but substituting continuing education for the required professional experience

Explanation

Article 30 of Decreto Ejecutivo N° 45505-MEP specifies the eligible Licenciatura titles, qualifying Costa Rican or recognized/equiparated foreign degrees, two years of qualifying experience, moral-solvency documentation, the Seminario de Deontología, and the applicable incorporation payment.

Question 17Colegio ethics and accountancy foundations

What are the primary collegiate governing organs of the Colegio de Contadores Públicos de Costa Rica established under Ley N° 1038 and its executive regulation?

  1. Asamblea General, Junta Directiva, Fiscalía, and Tribunal de Honor Correct answer.
  2. Asamblea General, Dirección Ejecutiva, Tribunal Examinador, and Comisión de Admisión
  3. Junta Directiva, Comisión de Fiscalía, Tribunal Examinador, and Comité de Calidad
  4. Asamblea General, Junta Directiva, SUGEF, and Tribunal Fiscal Administrativo

Explanation

The CCPA's principal collegiate organs include the Asamblea General, Junta Directiva, Fiscalía, and Tribunal de Honor. Under the current regulation, the Comisión de Fiscalía prepares a preliminary investigation report, the Tribunal de Honor determines the truth of the alleged conduct through the disciplinary proceeding, and the Junta Directiva imposes the corresponding sanction after a final finding.

Question 18Colegio ethics and accountancy foundations

Under Articles 13 and 14 of Manual 01-2025 (MSD) and Article 53 of the CCPA Reglamento, what is the composition of the Tribunal Examinador responsible for evaluating the Prueba del Seminario de Deontología?

  1. Five Contadores Públicos Autorizados with at least five years of membership, of whom three are members of the Junta Directiva, serving ad honorem Correct answer.
  2. Five active CPAs of any seniority, all selected from outside the Junta Directiva and paid per sitting
  3. Three CPAs with ten years of membership, two of whom must sit on the Tribunal de Honor
  4. Seven CPAs with five years of membership, including the full Junta Directiva

Explanation

Manual 01-2025 (MSD) Article 14 states that the Tribunal Examinador is composed of five Contadores Públicos Autorizados who have been incorporated for at least five years. Three of these members must be members of the Junta Directiva, and their duties are performed ad honorem.

Question 19Colegio ethics and accountancy foundations

Under Article 3 of Manual 01-2025 (MSD), what is the minimum accumulated duration required for the mandatory Seminario de Deontología en Contaduría Pública?

  1. Twenty accumulated hours (20 horas acumuladas) Correct answer.
  2. Fifteen accumulated hours (15 horas)
  3. Sixteen accumulated hours (16 horas)
  4. Twenty-four accumulated hours (24 horas)

Explanation

Article 3 of Manual 01-2025 (MSD) dictates that the Seminario de Deontología en Contaduría Pública will have a minimum duration of twenty accumulated hours according to scheduled sessions, delivered in-person or virtually at CCPA discretion.

Question 20Colegio ethics and accountancy foundations

Under Article 9 of Manual 01-2025 (MSD), what re-examination rights are granted to a participant who fails the initial sitting of the Prueba del Seminario de Deontología?

  1. The candidate may request up to two additional test opportunities at no cost; after failing the second and third attempts, another sitting may be coordinated for a later scheduled event Correct answer.
  2. The candidate receives one additional attempt at no cost and must repeat the seminar after a second failure
  3. The candidate receives two additional attempts, but both require the published replacement charge
  4. The candidate may retake indefinitely during the same cohort without coordinating with the Departamento de Admisión

Explanation

Manual 01-2025 Article 9 grants two additional test opportunities without charge after the first failure. A participant who fails the second and third attempts may take the test at another scheduled event after coordinating with the Departamento de Admisión. CCPA separately publishes a replacement-test charge on its admissions page.

Question 21Colegio ethics and accountancy foundations

Under Articles 17 to 22 of Manual 01-2025 (MSD), what administrative remedy is available to a candidate who disputes the score received on the Prueba del Seminario de Deontología?

  1. File a written Recurso de Revisión before the Departamento de Consultoría Técnica within five business days, which is reported to the Junta Directiva for final binding resolution within one month Correct answer.
  2. File the request with the Tribunal Examinador within ten business days, whose decision is final after fifteen days
  3. File with the Junta Directiva within five calendar days, which must obtain a binding report from Consultoría Técnica
  4. File with Consultoría Técnica within one month, which itself issues the final resolution

Explanation

Manual 01-2025 Articles 17-22 provide that an aggrieved candidate may file a written Recurso de Revisión within 5 business days following notification of results before the Departamento de Consultoría Técnica. The department forwards a non-binding technical report to the Junta Directiva, which resolves the appeal within one calendar month as a final administrative resolution.

Question 22Colegio ethics and accountancy foundations

Which testing modalities are officially authorized for administering the Prueba del Seminario de Deontología under Articles 24 and 25 of Manual 01-2025 (MSD)?

  1. On-site E-Learning at CCPA facilities using the candidate's laptop, on-site written paper, or supervised virtual E-Learning with video recording Correct answer.
  2. On-site E-Learning only; written and virtual sittings are not authorized
  3. On-site written paper or unsupervised take-home test; platform delivery is not authorized
  4. Supervised virtual E-Learning only; in-person delivery is not authorized

Explanation

Manual 01-2025 establishes three valid modalities at CCPA discretion: (a) Presencial plataforma E-Learning (candidates bring laptops to CCPA facilities under direct proctoring), (b) Presencial escrita (written paper exam at CCPA), and (c) Modalidad virtual (supervised online session with active camera and video recording).

Question 23Colegio ethics and accountancy foundations

As a member body of the International Federation of Accountants (IFAC), the CCPA is committed to seven Statements of Membership Obligations (SMOs). What is the subject matter of SMO 4?

  1. IESBA Code of Ethics for Professional Accountants Correct answer.
  2. International Public Sector Accounting Standards (IPSAS)
  3. Quality Assurance Review Systems
  4. International Standards on Auditing (IAASB)

Explanation

IFAC Statement of Membership Obligations 4 (SMO 4) requires member organizations to adopt and support implementation of the International Code of Ethics for Professional Accountants issued by the International Ethics Standards Board for Accountants (IESBA). CCPA has fulfilled this through its Código de Ética Profesional.

Question 24Colegio ethics and accountancy foundations

How does the CCPA implement IFAC Statement of Membership Obligations 1 (SMO 1 - Quality Assurance) in Costa Rica?

  1. By maintaining a quality-management implementation and review program for firms and independent practitioners under Circulars 07-2022 and 10-2022 and the current review lineamientos Correct answer.
  2. By making quality reviews voluntary unless a client requests one in the engagement letter
  3. By reviewing only firms that audit public interest entities and excluding independent practitioners
  4. By delegating all inspection decisions to the audit client's governance body

Explanation

SMO 1 requires a quality-assurance review system for members performing audits and assurance engagements. CCPA's current framework includes Circular 07-2022 on implementing a quality-management system, Circular 10-2022 on quality-management reviews under NIGC 1 and NIGC 2, and current review lineamientos administered through Fiscalía functions.

Question 25Colegio ethics and accountancy foundations

Which statement correctly describes the principal roles in a CCPA disciplinary case under the current Reglamento to Ley N° 1038?

  1. The Comisión de Fiscalía prepares the preliminary investigation report, the Tribunal de Honor determines the alleged facts through the proceeding, and the Junta Directiva imposes the sanction after a final finding Correct answer.
  2. Fiscalía alone investigates, determines guilt, and imposes the final sanction without action by another CCPA organ
  3. The Tribunal de Honor prepares only a non-binding technical report, while Fiscalía imposes the sanction
  4. The Junta Directiva performs the preliminary investigation, and the Comisión de Fiscalía decides the final sanction

Explanation

The current regulation distributes functions rather than assigning the whole case to Fiscalía. The Comisión de Fiscalía analyzes the matter and prepares a preliminary investigation report for the Junta Directiva; the Tribunal de Honor conducts the disciplinary proceeding and determines the truth of the alleged conduct; after a final finding, the Junta Directiva imposes the applicable sanction.

Question 26Colegio ethics and accountancy foundations

Which financial-reporting frameworks has the CCPA adopted for general-purpose financial reporting in Costa Rica?

  1. International Financial Reporting Standards (NIIF completas) or IFRS for SMEs (NIIF para las PYMES), as issued by the IASB and adopted by CCPA Correct answer.
  2. Full IFRS for every entity, with no eligibility for IFRS for SMEs
  3. IFRS for SMEs for every entity, including entities with public accountability
  4. Income-tax accounting rules as the sole general-purpose framework for every entity

Explanation

Current CCPA Circular 06-2022-R adopts full IFRS as issued by the IASB, while Circular 21-2018 addresses IFRS for SMEs. The applicable framework depends on whether the entity is eligible to use the SME standard and on other regulatory requirements.

Question 27Colegio ethics and accountancy foundations

Under NIC 1 (Presentation of Financial Statements), which option identifies the primary statements and notes in a complete set of financial statements?

  1. Statement of financial position, Statement of profit or loss and other comprehensive income, Statement of changes in equity, Statement of cash flows, and Notes comprising significant accounting policies and explanatory information Correct answer.
  2. Statement of financial position, statement of profit or loss, and notes, with no statement of cash flows or changes in equity
  3. Statement of financial position, statement of cash flows, and management's budget, with no performance statement
  4. Statement of profit or loss, statement of changes in equity, and tax return, with no statement of financial position

Explanation

NIC 1 paragraph 10 requires the statement of financial position, statement(s) of profit or loss and other comprehensive income, statement of changes in equity, statement of cash flows, and notes. Comparative information is also required, and an additional opening statement of financial position is presented when the circumstances in NIC 1 require it.

Question 28Colegio ethics and accountancy foundations

A Costa Rican manufacturing company has ending inventory with an acquisition cost of ₡15,000,000 CRC. Due to technological changes, the estimated selling price in the ordinary course of business is ₡16,000,000 CRC, with estimated completion costs of ₡1,000,000 CRC and estimated selling expenses of ₡1,500,000 CRC. Under NIC 2 (Inventories), what is the carrying value of inventory and the required impairment write-down?

  1. Carrying value is ₡13,500,000 CRC, requiring an impairment write-down of ₡1,500,000 CRC in profit or loss Correct answer.
  2. Carrying value is ₡15,000,000 CRC, with no write-down required because selling price exceeds cost
  3. Carrying value is ₡16,000,000 CRC, recognizing an unrealized valuation gain of ₡1,000,000 CRC
  4. Carrying value is ₡12,000,000 CRC, requiring a write-down of ₡3,000,000 CRC

Explanation

Under NIC 2, inventories must be measured at the lower of cost and net realizable value (NRV). NRV = Estimated selling price less estimated costs of completion and selling expenses: ₡16,000,000 - (₡1,000,000 + ₡1,500,000) = ₡13,500,000 CRC. Because NRV (₡13,500,000) is lower than cost (₡15,000,000), inventory is written down by ₡1,500,000 CRC.

Question 29Colegio ethics and accountancy foundations

A transport company in Cartago purchases a commercial cargo aircraft for ₡50,000,000 CRC. The turbine engines represent ₡15,000,000 CRC of the total cost and have an estimated useful life of 5 years with zero residual value. The airframe represents the remaining ₡35,000,000 CRC, with an estimated useful life of 10 years and zero residual value. Under NIC 16 component depreciation, what is the total annual straight-line depreciation charge?

  1. ₡6,500,000 CRC Correct answer.
  2. ₡5,000,000 CRC
  3. ₡7,500,000 CRC
  4. ₡10,000,000 CRC

Explanation

Under NIC 16 paragraph 43, each part of an item of property, plant and equipment with a cost that is significant in relation to the total cost must be depreciated separately. Engines: ₡15,000,000 / 5 years = ₡3,000,000/year. Airframe: ₡35,000,000 / 10 years = ₡3,500,000/year. Total annual depreciation = ₡3,000,000 + ₡3,500,000 = ₡6,500,000 CRC.

Question 30Colegio ethics and accountancy foundations

Under NIC 16, when an entity adopts the revaluation model for land and buildings, how is an initial upward revaluation surplus recognized?

  1. Recognized in Other Comprehensive Income (Otro Resultado Integral) and accumulated in equity under the heading Revaluation Surplus (Superávit por Revaluación) Correct answer.
  2. Recognized immediately as operating income within net profit or loss for the period
  3. Recorded as a deferred liability in the statement of financial position until the asset is sold
  4. Credited directly to share capital (capital social) as a stock dividend

Explanation

Under NIC 16 paragraph 39, if an asset's carrying amount is increased as a result of a revaluation, the increase must be recognized in Other Comprehensive Income (OCI) and accumulated in equity under the heading Revaluation Surplus, unless it reverses a revaluation decrease of the same asset previously recognized in profit or loss.

Question 31Colegio ethics and accountancy foundations

Which of the following leases can a lessee elect to account for using the recognition exemption of NIIF 16 (recognizing lease payments as an expense on a straight-line basis rather than recognizing a Right-of-Use asset and Lease Liability)?

  1. Short-term leases with a lease term of 12 months or less containing no purchase option, and leases for which the underlying asset is of low value when new Correct answer.
  2. All commercial real estate leases regardless of contract term
  3. Finance leases where ownership automatically transfers to the lessee at termination
  4. Leases of heavy manufacturing assembly lines exceeding 10 years in duration

Explanation

NIIF 16 permits a lessee to elect not to apply the right-of-use asset and lease-liability model to short-term leases and leases for which the underlying asset is of low value when new. The standard illustrates the low-value concept but does not establish a binding US-dollar threshold in its requirements.

Question 32Colegio ethics and accountancy foundations

Under NIIF 15, which of the following criteria indicates that a performance obligation is satisfied over time (a lo largo del tiempo) rather than at a point in time?

  1. The customer simultaneously receives and consumes the benefits provided by the entity's performance as the entity performs Correct answer.
  2. The entity retains physical possession of the finished goods until payment is completed
  3. The customer can cancel the contract at any time without paying for costs incurred plus a reasonable margin
  4. The asset has an alternative use to the entity and the entity has no enforceable right to payment

Explanation

NIIF 15 paragraph 35 establishes three alternative criteria for recognizing revenue over time: (1) customer simultaneously receives and consumes benefits as performed, (2) performance creates/enhances an asset customer controls, or (3) performance does not create an asset with alternative use and entity has an enforceable right to payment for performance completed to date.

Question 33Colegio ethics and accountancy foundations

At year-end, an entity tests a specialised production plant for impairment under NIC 36 (Impairment of Assets). The carrying amount of the plant is ₡25,000,000 CRC. The fair value less costs of disposal is ₡21,000,000 CRC, and its value in use (present value of expected future cash flows) is ₡22,500,000 CRC. What is the recoverable amount of the plant, and what impairment loss must be recognized?

  1. Recoverable amount is ₡22,500,000 CRC; impairment loss of ₡2,500,000 CRC is recognized in profit or loss Correct answer.
  2. Recoverable amount is ₡21,000,000 CRC; impairment loss of ₡4,000,000 CRC is recognized
  3. Recoverable amount is ₡25,000,000 CRC; no impairment loss is recognized
  4. Recoverable amount is ₡43,500,000 CRC (the sum of both metrics); a valuation gain is recognized

Explanation

Under NIC 36 paragraph 18, the recoverable amount of an asset is the higher of its fair value less costs of disposal (₡21,000,000) and its value in use (₡22,500,000). Recoverable amount is therefore ₡22,500,000 CRC. Because carrying amount (₡25,000,000) exceeds recoverable amount, an impairment loss of ₡2,500,000 CRC must be recognized.

Question 34Colegio ethics and accountancy foundations

At year-end, a manufacturer has a present legal clean-up obligation from a chemical spill that occurred during the year. An outflow is more likely than not, and engineers can reliably estimate the obligation at ₡18,000,000 CRC. How should the entity apply NIC 37?

  1. Recognize a ₡18,000,000 provision because a past event created a present obligation, the outflow is probable, and the amount is reliably estimable Correct answer.
  2. Disclose a contingent liability only, because every environmental obligation remains contingent until paid
  3. Recognize the provision only when the clean-up contractor submits an invoice
  4. Create a general reserve directly in equity because NIC 37 prohibits recognizing legal obligations before settlement

Explanation

The spill is the past event, the legal clean-up duty is a present obligation, the outflow is probable, and a reliable estimate is available. All NIC 37 recognition criteria are therefore met, so the entity recognizes a ₡18,000,000 provision rather than waiting for payment or using an undisclosed general reserve.

Question 35Colegio ethics and accountancy foundations

Under NIC 38 (Intangible Assets), what is the mandatory accounting treatment for research expenditures (fase de investigación) versus development expenditures (fase de desarrollo)?

  1. Research expenditures must always be expensed when incurred, whereas development expenditures can only be capitalized if all six technical and commercial viability criteria are demonstrated Correct answer.
  2. Both research and development expenditures must be capitalized and amortized over five years
  3. Both research and development expenditures must always be expensed immediately under full IFRS
  4. Research expenditures are capitalized as goodwill, while development expenditures are expensed

Explanation

NIC 38 establishes a strict dichotomy: all costs incurred in the research phase must be expensed in profit or loss when incurred. Development costs can only be capitalized as intangible assets once the entity demonstrates all six criteria: technical feasibility, intention to complete, ability to use/sell, how it will generate future economic benefits, availability of resources, and reliable cost measurement.

Question 36Colegio ethics and accountancy foundations

On 20 January 2026, before the authorization of the 2025 financial statements, a major customer of a Costa Rican firm goes bankrupt. The customer had an outstanding trade receivable of ₡10,000,000 CRC at 31 December 2025. Under NIC 10 (Events after the Reporting Period), how is this event treated?

  1. As an adjusting event (hecho posterior que implica ajuste), requiring the 2025 financial statements to be adjusted by recognizing an impairment loss Correct answer.
  2. As a non-adjusting event, requiring only disclosure in the 2025 financial statement notes
  3. As an accounting error of 2024 requiring retrospective restatement of opening retained earnings
  4. As a transaction of fiscal year 2026 with no effect or disclosure in the 2025 statements

Explanation

Under NIC 10 paragraph 9, the bankruptcy of a customer after the reporting period confirms that the customer was already credit-impaired at the end of the reporting period. It provides additional evidence of conditions that existed at the balance sheet date, making it an adjusting event requiring immediate write-down in the 2025 statements.

Question 37Colegio ethics and accountancy foundations

Under NIC 8 (Accounting Policies, Changes in Accounting Estimates and Errors), how must a change in accounting policy be accounted for, compared to a change in an accounting estimate?

  1. Changes in accounting policies are applied retrospectively (restating comparative prior periods), while changes in accounting estimates are applied prospectively (affecting current and future periods only) Correct answer.
  2. Both changes in policies and changes in estimates are applied prospectively
  3. Both changes in policies and changes in estimates are applied retrospectively to opening equity
  4. Changes in policies are applied prospectively, while changes in estimates require retrospective restatement

Explanation

Under NIC 8, a voluntary change in accounting policy is generally applied retrospectively, while a change in an accounting estimate is recognized prospectively in the period of change and, when applicable, future periods. A new standard's specific transitional provisions apply first, and retrospective application is limited when it is impracticable.

Question 38Colegio ethics and accountancy foundations

In preparing a Statement of Cash Flows under NIC 7, how are cash proceeds from issuing long-term commercial bonds and cash payments to acquire manufacturing equipment classified?

  1. Issuing bonds is a Financing activity (actividad de financiación), and acquiring equipment is an Investing activity (actividad de inversión) Correct answer.
  2. Both transactions are classified as Operating activities (actividades de operación)
  3. Issuing bonds is an Investing activity, and acquiring equipment is a Financing activity
  4. Both transactions are presented off-balance sheet as non-cash transactions

Explanation

NIC 7 defines financing activities as activities that result in changes in the size and composition of the contributed equity and borrowings of the entity (issuing debt/bonds). Investing activities are the acquisition and disposal of long-term assets and other investments not included in cash equivalents (acquiring equipment).

Question 39Colegio ethics and accountancy foundations

Under NIC 21 (The Effects of Changes in Foreign Exchange Rates), at the end of each reporting period, how must foreign currency monetary items (partidas monetarias en moneda extranjera) be translated?

  1. Translated using the closing exchange rate (tipo de cambio de cierre) at the reporting date, with resulting exchange differences recognized in profit or loss Correct answer.
  2. Maintained at the historical exchange rate on the date of initial transaction
  3. Translated using the average exchange rate of the prior ten years
  4. Ignored until the foreign currency is physically converted into Costa Rican Colones

Explanation

NIC 21 paragraph 23(a) requires foreign currency monetary items (such as cash, trade receivables, and loans payable) to be translated using the closing exchange rate at the reporting date. Exchange differences arising on the settlement or translation of monetary items are recognized in profit or loss.

Question 40Colegio ethics and accountancy foundations

A Costa Rican commercial enterprise holds land in Guanacaste solely for long-term capital appreciation. Under NIC 40 (Investment Property), which statement correctly describes the accounting choices?

  1. The entity may choose either the fair value model (with changes recognized in profit or loss) or the cost model, applying the chosen policy to all investment property Correct answer.
  2. The entity must account for the land under NIC 2 as trading inventory
  3. The land must be depreciated over a maximum period of twenty years
  4. Fair value gains must be credited to retained earnings as a tax-free cash dividend

Explanation

Under NIC 40, property held to earn rentals or for capital appreciation is investment property. The entity can choose between the fair value model (changes in fair value recognized directly in profit or loss, no depreciation) and the cost model (depreciated cost with fair value disclosure in notes), applied consistently to all its investment property.

Question 41Colegio ethics and accountancy foundations

Under NIIF 9 (Financial Instruments), which two conditions must both be met for a financial asset (such as a commercial corporate bond) to be measured at Amortized Cost (Costo Amortizado)?

  1. The asset is held within a business model whose objective is to collect contractual cash flows, and contractual terms give rise on specified dates to cash flows that are solely payments of principal and interest (SPPI) Correct answer.
  2. The asset is held for active trading, and fair value can be measured reliably
  3. The debtor is a government agency, and maturity exceeds twenty years
  4. The asset has been insured by a commercial bank against default risk

Explanation

NIIF 9 paragraph 4.1.2 establishes two tests for amortized cost classification: (1) Business Model Test (held to collect contractual cash flows) and (2) SPPI Test (contractual cash flows represent solely payments of principal and interest on the principal amount outstanding).

Question 42Colegio ethics and accountancy foundations

What is a major simplification permitted under NIIF para las PYMES (IFRS for SMEs) compared to Full IFRS regarding borrowing costs and research and development?

  1. All borrowing costs and all research and development expenditures must be expensed in profit or loss when incurred Correct answer.
  2. All borrowing costs must be capitalized into inventory, and all research must be capitalized as goodwill
  3. Entities must prepare cash flow statements using the direct method only
  4. Entities are prohibited from preparing consolidated financial statements

Explanation

Under Section 25 (Borrowing Costs) and Section 18 (Intangible Assets) of NIIF para las PYMES, all borrowing costs must be recognized as an expense in profit or loss in the period in which they are incurred (no capitalization). Similarly, all research and development expenditures are expensed as incurred, simplifying accounting for smaller entities.

Question 43Colegio ethics and accountancy foundations

Which accounting standards did CCPA Circular N° 27-2022 adopt for public-sector financial reporting in Costa Rica?

  1. Normas Internacionales de Contabilidad del Sector Público (NICSP / IPSAS) Correct answer.
  2. US GAAP Government Accounting Standards Board (GASB) rules
  3. Pure cash accounting without accrual balances
  4. Private commercial accounting under NIIF para PYMES exclusively

Explanation

CCPA Circular N° 27-2022 adopts the International Public Sector Accounting Standards (Normas Internacionales de Contabilidad del Sector Público, or NICSP/IPSAS) for public-sector financial reporting. This is distinct from full IFRS, IFRS for SMEs, and US GASB standards.

Question 44Colegio ethics and accountancy foundations

Under NIA 200 (Overall Objectives of the Independent Auditor), what level of assurance is an independent auditor required to obtain before issuing an audit opinion on financial statements?

  1. Reasonable assurance (seguridad razonable), which is a high, but not absolute, level of assurance Correct answer.
  2. Absolute assurance (seguridad absoluta), guaranteeing that financial statements are 100% free from all errors
  3. Moderate or limited assurance, equivalent to a review engagement
  4. No assurance, because the auditor only verifies clerical mathematical accuracy

Explanation

NIA 200 dictates that the auditor must obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error. Reasonable assurance is a high level of assurance, but it is not absolute because of the inherent limitations of an audit (sampling, persuasive rather than conclusive evidence, and management fraud concealment).

Question 45Colegio ethics and accountancy foundations

Under NIA 210 (Agreeing the Terms of Audit Engagements), which of the following is a mandatory precondition for an audit (precondición para la auditoría)?

  1. Management acknowledges and understands its responsibility for preparing financial statements in accordance with the applicable framework and for maintaining necessary internal control Correct answer.
  2. Management accepts responsibility for the statements but not for the internal control needed to prepare them
  3. The financial-reporting framework is acceptable, but management limits the auditor's access to information selected by the audit committee
  4. Management gives the auditor unrestricted access but refuses responsibility for preparing the financial statements

Explanation

NIA 210 paragraph 6 states that to establish whether preconditions are present, the auditor must obtain management's agreement that it acknowledges and understands its responsibility: (1) for preparing financial statements under an acceptable framework, (2) for internal control necessary to enable statements free from material misstatement, and (3) to provide full access and documentation.

Question 46Colegio ethics and accountancy foundations

Under NIA 230 and Article 14 of the current Reglamento to Ley N° 1038, what are the ordinary final-file assembly period and the CCPA minimum working-paper retention period?

  1. Assembly ordinarily within 60 days after the auditor's report date; retention for at least four years unless another law requires longer Correct answer.
  2. Assembly within 30 days after year-end; retention for at least five years in every case
  3. Assembly within 90 days after report issuance; retention for at least ten years
  4. Assembly by the report date; destruction immediately after the next annual audit

Explanation

NIA 230 explains that an appropriate final-file assembly period ordinarily does not exceed 60 days after the auditor's report date. Separately, Article 14 of Decreto Ejecutivo N° 45505-MEP requires a CPA to retain working papers for at least four years, unless another applicable law requires a longer period, and to make them available to Fiscalía when required.

Question 47Colegio ethics and accountancy foundations

Under NIA 240 (The Auditor's Responsibilities Relating to Fraud in an Audit of Financial Statements), what mandatory procedure must the auditor perform to address the risk of management override of controls (elusión de controles por la dirección)?

  1. Test the appropriateness of journal entries recorded in the general ledger and evaluate accounting estimates for management bias Correct answer.
  2. Test only entries posted on the final day of the period and omit the review of accounting estimates
  3. Review accounting estimates for bias but omit journal-entry testing when controls operated effectively
  4. Rely on written representations if management states that no override occurred

Explanation

NIA 240 paragraph 32 dictates that due to the unpredictable way in which management override of controls can occur, the auditor must perform mandatory procedures: (1) test the appropriateness of journal entries and other adjustments throughout the period and at period end, (2) review accounting estimates for biases, and (3) evaluate the business rationale for significant unusual transactions.

Question 48Colegio ethics and accountancy foundations

Under NIA 250 (Consideration of Laws and Regulations in an Audit of Financial Statements), what distinguishes the auditor's responsibility regarding tax and financial reporting laws compared to general operating laws (such as environmental or occupational safety laws)?

  1. The auditor must obtain sufficient appropriate audit evidence regarding compliance with laws that have a direct effect on determining material amounts and disclosures (such as tax laws), while for other laws the responsibility is limited to specified procedures to identify non-compliance Correct answer.
  2. The auditor applies the same detailed compliance testing to every law, whether or not it affects the financial statements
  3. For direct-effect laws the auditor performs inquiry only, while other laws always require transaction-by-transaction testing
  4. The auditor considers only direct-effect laws and ignores other laws until a court enters a final conviction

Explanation

NIA 250 distinguishes laws and regulations that generally have a direct effect on material amounts and disclosures, such as tax and pension laws, from other laws whose compliance may be fundamental to operations but does not directly determine reported amounts. For the latter category, the auditor performs specified procedures to help identify non-compliance that may materially affect the financial statements.

Question 49Colegio ethics and accountancy foundations

Under NIA 265 (Communicating Deficiencies in Internal Control to Those Charged with Governance and Management), how must significant deficiencies in internal control (deficiencias significativas de control interno) be communicated?

  1. Communicated in writing on a timely basis to those charged with governance (gobierno corporativo) Correct answer.
  2. Communicated orally to management only, provided the discussion is documented in the audit file
  3. Communicated in writing to management only and withheld from those charged with governance
  4. Communicated to those charged with governance only if management agrees with the auditor's proposed remediation

Explanation

NIA 265 paragraph 9 explicitly states that the auditor must communicate in writing significant deficiencies in internal control identified during the audit to those charged with governance on a timely basis.

Question 50Colegio ethics and accountancy foundations

What is the relationship between the overall audit strategy (estrategia global de auditoría) and the detailed audit plan (plan de auditoría) under NIA 300 (Planning an Audit of Financial Statements)?

  1. The overall audit strategy sets the scope, timing, and direction of the audit and guides development of the more detailed audit plan, which details the nature, timing, and extent of risk assessment and substantive procedures Correct answer.
  2. The detailed audit plan is completed first and determines the scope and direction later documented in the strategy
  3. The strategy covers individual substantive procedures, while the plan addresses only staffing and reporting dates
  4. The strategy replaces the audit plan when the entity is small and control risk is assessed as low

Explanation

Under NIA 300, the overall audit strategy establishes the scope, timing, and direction of the audit, which guides the development of the audit plan. The audit plan is more detailed and outlines the nature, timing, and extent of risk assessment procedures and further audit procedures at the assertion level.