Following Are the Items of Income and Expense Recognised During

question 2

Multiple Choice

Following are the items of income and expense recognised during the period by Murray Ltd:
$\begin{array}{|l|l|}\hline \text { I }& \text { Foreign exchange differences } \\\hline \text { II } & \text { Losses on ineffective cash flow hedges } \\\hline \text { III } & \text { Retrospective adjustment from a change in accounting policy } \\\hline \mathrm{V} & \text { Actuarial losses on defined benefit pension plans } \\\hline IV & \text { Prior period error discovered } \\\hline VI & \text { Prospective adjustment resulting from a change in accounting estimates }\\\hline\end{array}$
Which of the following combinations identify all items permitted in AASB 101 'Presentation of Financial Statements to be presented under other comprehensive income?

• A) I, II, V and VI
• B) II, III, VI and V
• C) I, III, and VI
• D) III, IV and V

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Definitions:

Illusory Correlation

The belief in a connection between two factors where none actually exists.

Decline Effect

The phenomenon where the strength of a scientific finding or the size of observed effects tends to decrease over time with subsequent studies or experiments.

Physical Height

The measurement of how tall an individual or structure is, typically measured from the base to the top.

Correlation

An indicator quantifying the degree to which multiple variables co-vary.