IFRS Uses Specific Terminology to Refer to the Likelihood of the Occurrence

question 39

Multiple Choice

IFRS uses specific terminology to refer to the likelihood of the occurrence of an organizational event. Which of the following would require note disclosure in the financial statements adjusted?

• A) likely to occur and the amount can be estimated
• B) possible that an outflow of resources is not required
• C) likelihood is remote
• D) amount is yet to be confirmed

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Definitions:

Normative Construction

The process through which societal norms and beliefs are built and established, guiding behaviors and expectations within a community.

Functionalism

A sociological perspective that views society as a complex system with parts working together to promote stability and integration.

Idyllic Family

An idealized concept of family life that portrays harmony, financial stability, and emotional support among its members.

Divorce Act

Legislation that governs the legal process of divorce, including the rights and obligations of the parties involved.