AASB 136 Defines Value in Use as The

question 21

Multiple Choice

AASB 136 defines value in use as the:

• A) amount obtainable from the disposal of an asset, excluding any selling costs.
• B) initial cost of an asset less any expected disposal costs.
• C) incremental costs directly attributable to the disposal of an asset or cash-generating unit, excluding finance costs and income tax expense.
• D) present value of the future cash flows expected to be derived from an asset or cash-generating unit.

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Definitions:

Business Buyers

Entities such as companies and organizations that purchase products or services for use in the production of other goods and services, for resale, or for the organization’s own use.

Vendor Performance Assessment

Vendor Performance Assessment involves evaluating and monitoring a supplier's performance to ensure they meet contractual obligations and performance standards.

Proposal Analysis

The process of evaluating a proposal to determine its feasibility, cost-effectiveness, and compatibility with organizational goals, often involving comparison with competitive offers.

RFP Process

Stands for Request for Proposal process, a step-by-step approach through which an organization solicits bids from potential suppliers or service providers for a specific project or procurement.