Which Statement Is Not Correct Under the IFRS Framework

question 9

Multiple Choice

Which statement is not correct under the IFRS Framework?

• A)A reliable estimate for an asset is presumed to exist.
• B)A provision exists if the timing of payment is uncertain.
• C)A provision exists if the amount of payment is uncertain.
• D)A reliable estimate for a liability is presumed to exist.

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Definitions:

Applied Overhead

The allocation of estimated overhead costs to specific production activities or jobs based on a predetermined rate or method.

Incurred

Refers to costs that have been realized or expended in association with a specific activity or period.

Manufacturing Costs

The total expenses involved in the manufacture of products, including direct materials, direct labor, and factory overhead.

Inventory Accounts

Accounts used to track the cost of goods that are either manufactured or purchased for resale by a business.