Which Statement Is Not Correct

question 45

Multiple Choice

Which statement is not correct?

• A)Significant uncertainties exist during mineral exploration.
• B)Entities can choose to either capitalize or expense mineral exploration costs.
• C)IFRS 6 applies when the mineral resources enter the development phase.
• D)Under IFRS, all costs must be expensed if a mineral site is not worthy of further exploration.

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Definitions:

Par Value

The face value of a stock or bond as specified by the issuing company, which may differ from its market value.

Retirement

The point in time when an individual stops working in their professional career, often associated with aging and financial planning for the post-work phase of life.

Gain or Loss

The financial result that occurs when the selling price of an asset is higher or lower than its purchase price, respectively.

Cash Proceeds

The total amount of cash received from a transaction, such as the sale of an asset or a business operation.