Which of the Following Statements Is Correct

question 6

Multiple Choice

Which of the following statements is correct?

• A)Contingent assets are only recorded when it is virtually certain that the benefits relating to the contingent assets will be received.
• B)There is no guidance for self-insurance under IFRS.
• C)Contingent assets are only recorded when it is reasonably certain that the benefits relating to the contingent assets will be received.
• D)For companies that are self-insured, a provision must be established for events taking place prior to the reporting period if known.

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Definitions:

Heme

An iron-containing compound that forms an essential part of hemoglobin and some other biological molecules, responsible for binding oxygen.

Renal Artery

The renal artery is a blood vessel that supplies the kidneys with blood, enabling them to filter and cleanse the blood, remove waste and produce urine.

Vena Cava

A large vein carrying deoxygenated blood into the heart; there are two in humans, the superior vena cava and the inferior vena cava.

Capillaries

Microscopic blood vessels that connect arterioles and venules, facilitating the exchange of water, oxygen, carbon dioxide, and other substances between blood and tissues.