Question

5) A revaluation decrement, would be required when the asset's A) fairvalue is materially below its carrying amount B) fairvalue is materially above its carrying Q carrying amount is materially below its fair value D) carrying amount is materially above its residual value 6) Subsequent to their initial recognition, AASB 116 provides entities with a choice in accounting policy between the: A) recoverable amount and the carrying value model B) recoverable amount model and the revaluation model Q) cost model and the revaluation model D) cost model and the recoverable amount model 7) The comparison of the carrying amount of an asset to its recoverable amount is referred to as A) derecognition C) Depreciation B) impairment testing D) none of the above 9) Examples of costs listed in AASB 116 that would not be considered to represent directly A) costs of introducing a new product or service B) administration and other general overhead costs O) costs of relocating or reorganising part or all of an entity's operations D) all of the above 10) The amount for which an asset could be exchanged between knowledgeable, illing parties in an arm's length transaction is defined in AASB 116as A) carrying value C fair value B) exchange value D) recoverable amount

Answer 1