Long-Term Operating Assets Must Be Reported on the Balance Sheet

question 25

Multiple Choice

Long-term operating assets must be reported on the balance sheet at fair value instead of historical cost. Does this statement apply to IFRS and U.S. GAAP?

• A) It applies to IFRS only.
• B) It applies to U.S. GAAP only.
• C) It applies to both IFRS and U.S. GAAP.
• D) It does not apply to IFRS and U.S. GAAP.

---

Definitions:

Tire Pressure Control Systems

Automotive systems designed to monitor and adjust the air pressure inside vehicle tires, enhancing performance and safety.

Reduced Tire Costs

Reduced Tire Costs involve strategies or practices aimed at lowering the expenses associated with purchasing, maintaining, and replacing vehicle tires, potentially through better management, purchasing deals, or technology.

Retrofit

To modify a system to adapt to changes made after its manufacture.