Paragraph 87 of AASB 101 Lists Some Circumstances That May

question 61

Multiple Choice

Paragraph 87 of AASB 101 lists some circumstances that may give rise to separate disclosure of items of income and expense.They include:

• A) Reversals of inventory write-downs.
• B) Extraordinary items.
• C) Finance costs.
• D) Distribution costs.
• E) All of the given answers.

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Definitions:

Exclusive Licenses

Agreements granting one party alone the right to sell, produce, or use intellectual property or product.

Tradable Permits

Government-issued rights or allowances that permit the holder to emit a certain amount of a substance; can be bought, sold, or traded.

Common Resource

A resource like air or water that is not owned by anyone, but is available for use by everyone, often leading to overuse and depletion.

Marginal Social Benefit

The extra advantage to the community when one additional unit of a product or service is made.