Which of the Following Statements Is True in Accordance with IAS

question 30

Multiple Choice

Which of the following statements is true in accordance with IAS 33?

• A)If a bonus or rights issue is made at the prevailing market price of the shares, then there is no bonus element in the issue.
• B)An entity is required to disclose earnings per share even though a loss has been made for the period.
• C)All reporting entities are required to disclose earnings per share and diluted earnings per share in the notes to the accounts.
• D)An entity is required to disclose earnings per share on the face of the statement of comprehensive income.

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Definitions:

Equally-Weighted Portfolio

An investment portfolio where each asset is allocated the same percentage of total investment capital.

Securities

Financial instruments that hold some type of monetary value, such as stocks, bonds, or options.

Factor Portfolios

Investment portfolios constructed to capture risk factors or sources of returns that are believed to explain the performance of securities.

Expected Return

The weighted average of all possible returns for a given investment, with weights being the probabilities of each outcome.