In the Case of a Non-Adjusting Event,AASB 110 Requires It

question 24

Multiple Choice

In the case of a non-adjusting event,AASB 110 requires it to be:

• A) Reflected in the financial information in the statements if it is material and relates to an item that would normally be reflected in the financial statements.
• B) Disclosed by way of note if it is material.
• C) If an unfavourable material event, disclosed as a contingent liability.
• D) If an unfavourable material event, reflected in the financial statements; if a favourable event, disclosed by way of note.
• E) None of the given answers.

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Definitions:

Pollutants

Substances introduced into the environment that cause harm or discomfort to living organisms or damage to the natural resources.

Federal Insecticide, Fungicide, and Rodenticide Act

A United States law that sets up the basic U.S. system of pesticide regulation to protect applicators, consumers, and the environment.

Pesticides

Pesticides are chemical or biological agents used to control insects, weeds, fungi, or other pests on crops and in other settings.

Clean Air Act

A significant federal law in the United States aimed at controlling air pollution and maintaining air quality.