The Requirement of IAS 38 in Relation to the Amortisation

question 46

Multiple Choice

The requirement of IAS 38 in relation to the amortisation of development cost is that:

• A)It is to be amortised straight-line over a period not greater than 20 years.
• B)It is to be amortised from the time of deferral so as to match the cost to the related benefits.
• C)It is to be amortised using an accelerated depreciation rate over a period not exceeding 10 years.
• D)It is to be amortised from the time the asset is available for use and shall reflect the consumption of the economic benefits by the entity.

---

Definitions:

Social Security

A government program designed to provide financial support to individuals during retirement, disability, or upon the death of a primary wage earner.

Welfare State

A government system that provides social security and welfare services to its citizens, aiming to ensure a minimum standard of living.

FDR's Economic Bill Of Rights

A proposal made by President Franklin D. Roosevelt in 1944 to guarantee economic rights for all Americans, including employment, housing, and healthcare.

Veteran Support

Programs, benefits, and services provided to military veterans by governments, non-profits, and other organizations, recognizing their service and assisting in their reintegration into civilian life.