Under IFRS 3, Which Concept Must Be Used to Report

question 14

Multiple Choice

Under IFRS 3, which concept must be used to report the assets and liabilities of an acquired company on the parent company financial statements?

• A)Parent company concept
• B)Equity concept
• C)Entity concept
• D)Historical cost concept

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Definitions:

Reasonable Notice

The notice period that is considered fair to inform parties about a decision or action, often used in employment termination and contractual changes.

Buyer's Disposition

The attitudes, intentions, or actions of a buyer towards making a purchase, including their preferences and decision-making process.

Single Delivery

Refers to the practice of delivering all ordered items in one shipment rather than multiple shipments.

Tender

An offer to perform an obligation or a payment, especially in legal contexts.