What Issue of Reporting Effects of Changing Prices Is Addressed

question 54

Multiple Choice

What issue of reporting effects of changing prices is addressed by IAS 29, issued by the International Accounting Standards Board in 1989?

• A)Choice between current replacement cost and general purchasing power method
• B)Making inflation-adjusted reporting optional or required
• C)Specifying the European Central Bank as the official source of inflation rates in the European Union
• D)Mandating inflation adjustment for primary financial statements of companies in hyperinflationary economies

---

Definitions:

Echoencephalography

A diagnostic ultrasound procedure used to image the brain and assess brain abnormalities.

Ultrasound

A diagnostic imaging technique that uses high-frequency sound waves to create images of the inside of the body, commonly used for examining fetuses during prenatal care, organs, and tissues.

Centrally Located Mass

A mass located in the center of a body or organ, which can be benign or malignant, necessitating medical evaluation.

Computed Tomography

A diagnostic imaging procedure that uses a combination of X-rays and computer technology to produce detailed cross-sectional images of the body's internal structures.