When a Non-Current Asset Is Revalued,the Recognition of Future Tax

question 76

True/False

When a non-current asset is revalued,the recognition of future tax associated with an asset that has a fair value in excess of cost,acts to reduce the amount of the revaluation reserve.

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Definitions:

Socially Efficient

A situation in which resources are allocated in the most beneficial way from the perspective of society as a whole, considering both private and external costs and benefits.

Individual Resident

A person who inhabits a particular place, typically referring to living in a specific geographic area or dwelling.

Hire

The action of providing employment to someone; the act of engaging an individual for a job.

Marginal Cost

The additional cost resulting from the production of one more unit of a product or service.