Certain Classes of Property,plant and Equipment,for Example,aircraft,might Comprise a Number

question 29

Multiple Choice

Certain classes of property,plant and equipment,for example,aircraft,might comprise a number of individual component parts.How does IAS 16 paragraph 43 require these components to be accounted for?

• A)The components can be measured as one asset.
• B)There is a prescribed unit of measurement for recognition that must be followed.
• C)Only one depreciation rate can be used for the asset.
• D)Each component with a significant cost must be depreciated separately.

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Definitions:

Distinctive

Characterized by a unique feature, quality, or characteristic that sets it apart from others.

Environmental Factors

External elements including climate, geography, and human influences that affect individuals and societies.

Present Environments

The current external and internal contexts within which individuals, organizations, or systems operate.

Future Environments

Refers to scenarios or conditions that are likely to occur in the future, impacting societies, technologies, economies, and the natural world.