IAS 10 Requires That Adjusting Events That Meet Two Broad

question 57

Multiple Choice

IAS 10 requires that adjusting events that meet two broad criteria should be:

• A)reflected in the financial information in the statements if it is material and relates to an item that would normally be reflected in the financial statements.
• B)always disclosed by way of a note to the financial statements.
• C)disclosed as a contingent liability, if an unfavourable event.
• D)reflected in the financial statements, if an unfavourable event; disclosed by way of note, if a favourable event.

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Definitions:

Chlamydia

A common sexually transmitted infection caused by the bacterium Chlamydia trachomatis, often presenting with minimal or no symptoms but can cause serious reproductive complications if left untreated.

Dementia

A broad category of brain diseases that cause a long-term and often gradual decrease in the ability to think and remember, significantly affecting daily functioning.

Contraceptives

Methods or devices used to prevent pregnancy as a result of sexual intercourse.

Vaginal Contraceptive Ring

A flexible, doughnut-shaped device inserted into the vagina that releases hormones to prevent pregnancy.