AASB 116 Permits Which of the Following with Respect to Measurement

question 29

Multiple Choice

AASB 116 permits which of the following with respect to measurement of non-current assets using revaluation model?

• A) Net revaluation decrements for each class of asset are initially debited to asset revaluation reserve.
• B) Use of cost model to measure other assets in the same class.
• C) All increments arising from revaluation are credited to asset revaluation reserve.
• D) None of the given answers are correct.

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Definitions:

Mediating Structures

Intermediate organizations or networks that facilitate the interaction between individuals and larger institutions, promoting social integration and cohesion.

Rational Acts

Actions or decisions that are made based on logical reasoning and coherent analysis, aiming at maximizing benefits while minimizing costs and risks.

Voice of the People

A term used to describe the opinions, wishes, or preferences of the general public or a particular segment of society.

Basis of Economy

The foundational elements or activities that support and drive the economic systems, such as production, consumption, and trade.