Exchange Differences Recognised as Borrowing Costs and Included in the Cost

question 38

Multiple Choice

Exchange differences recognised as borrowing costs and included in the cost of an asset,are recogniseD.

• A) Until the asset is ready for its intended use or sale, provided the capitalisation of costs does not mean that the cost of the asset exceeds recoverable amount.
• B) Until such time as they are deemed to be income and expenses by a resolution of the Board of Management.
• C) Until such time as income is derived, at which time they are passed directly to profit or loss.
• D) Only after the asset is ready for its intended use or sale, provided the capitalisation of costs does not mean that the cost of the asset exceeds recoverable amount.
• E) At the discretion for the entity's auditors.

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