Which of the Following Statements Is Incorrect

question 10

Multiple Choice

Which of the following statements is incorrect?

• A) Trade debtors and trade creditors are treated as unconditional financial assets and financial liabilities.
• B) Forward contracts covered by AASB 9 are recognised as financial assets or financial liabilities at the commitment date.
• C) Option contracts covered by AASB 9 are recognised as financial assets or financial liabilities when the holder or writer becomes a party to the contract.
• D) Planned future transactions are to be recognised as asset or liabilities at the date the plan is finalised.

---

Definitions:

Independent Watchdog

An organization or body that operates independently to oversee and report on the effectiveness, legality, or morality of specific activities or organizations.

Phenylthiourea (PTC)

A chemical compound that tastes bitter to some people and tasteless to others, used in genetic and sensory studies.

Tasters

Individuals who sample food or drink for quality, taste, and texture, often employed in the food industry to ensure products meet established standards.

Non-tasters

Individuals who have a reduced ability or inability to taste certain compounds, often genetic in origin.