ACNC Reporting Obligations and Charity Finances Quiz

This quiz is part of our charity governance online learning content.

It covers information about ACNC reporting obligations and charity finances. To learn more, see our guidance on:

Read each question and choose the answer you think is correct. If you get a question wrong, you can try again. If you answer every question correctly, you can download our ACNC reporting obligations and charity finances certificate to demonstrate your learning.

ACNC Reporting Obligations and Charity Finances Quiz

Question 1

True or false: All charities, aside from those registered with ORIC, must complete an Annual Information Statement, regardless of size and BRC status.

True

False

Question 2

How is charity size determined?

Annual income

Number of paid employees

Annual revenue

Question 3

Which charities are required by the ACNC to have their financial report audited? 

Small charities

Medium charities

Large charities

Question 4

Is a charity allowed to make a profit or surplus?

No, being not-for-profit means a charity should never make a profit/be in surplus

No, being not-for-profit means a charity should aim to break even

Yes, making a profit or being in surplus occasionally is allowed

Yes, making a profit/being in surplus is good practice and allows for the financial viability of the charity

Question 5

Which of the following is not a warning sign of financial difficulties in a charity?

Consistently having current assets higher than current liabilities

A history of financial losses in consecutive financial periods

Trouble producing accurate and timely information about your charity’s performance and financial position

Trouble paying staff on time

Difficulty paying bills for goods and services

Question 6

True or false: Knowing if your charity is a reporting entity helps you to determine what type of financial statements a charity must prepare.

True

False

Question 7

Which of the following factors may suggest that your charity is a reporting entity?

High level of separation of membership from management

The charity has a high level of economic or political importance or influence

High level of assets or revenue that is funded from government or a high number of employees

All of the above

Question 8

What is the difference between General Purpose Financial Statements (GPFS) and Special Purpose Financial Statements (SPFS)?

GPFS must comply with all applicable Australian Accounting Standards, whereas SPFS only have to comply with the mandatory Australian Accounting Standards outlined in the ACNC Regulations

SPFS must comply with all applicable Australian Accounting Standards, whereas GPFS only have to comply with the mandatory Australian Accounting Standards outlined in the ACNC Regulations

Question 9

Which charities are required to report key management personnel remuneration in their annual financial report?

Small charities

Medium charities, if they prepare Special Purpose Financial Statements

Medium charities, if they prepare General Purpose Financial Statements, and large charities

Question 10

Who of the following are related parties?

A charity’s Responsible People

A charity’s senior management

The close family members of a charity’s Responsible People and senior management

All of the above

Question 11

Which of the following is not a related party transaction?

A loan from a board member to the charity

A donation to the charity from a member of the public who has no connections to the charity

A board member’s accounting firm provides pro bono (free) accounting services to the charity

Renting charity office space on commercial terms from a board member’s close relative

Question 12

True or false: All charities (aside from Basic Religious Charities) are required to report related party transactions.

True

False

ACNC Reporting Obligations and Charity Finances Quiz

ACNC Reporting Obligations and Charity Finances Quiz

Question 1

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Question 2

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Question 3

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Question 4

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Question 5

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Question 6

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Question 7

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Question 9

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Question 10

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Question 11

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Question 12

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Congratulations!