AASB 107 Requires Disclosure of Information About Transactions and Events

question 46

Multiple Choice

AASB 107 requires disclosure of information about transactions and events that do not result in cash flows during the financial year,including:

• A) A commitment under an operating lease.
• B) The use of forward exchange contracts to hedge purchases.
• C) Acquisition of assets by entering into finance leases.
• D) Liquidation of investments.
• E) None of the given answers.

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Definitions:

Discord

A lack of agreement or harmony between people, ideas, or feelings, resulting in conflict or unrest.

Pluralistic Ignorance

A social psychological phenomenon where individuals mistakenly believe their thoughts, feelings, or behaviors are different from those of the group, leading to conformity despite private disagreement.

Social Value Orientation

An individual's preferences when allocating resources between oneself and others, which can influence behavior in social situations.

Competitive

A characteristic of entities that strive against each other to achieve a goal, such as winning a game or dominating a market.