For a Depreciable Asset,the Amount of Depreciation Recognised Shall Be

question 48

Multiple Choice

For a depreciable asset,the amount of depreciation recognised shall be in accordance with AASB 116.The asset shall be.

• A) Fully depreciated over the shorter of the lease term and its useful life, if there is a reasonable certainty that the lessee will obtain ownership by the end of the lease term..
• B) Fully depreciated over the shorter of the lease term and its useful life, if there is no reasonable certainty that the lessee will obtain ownership by the end of the lease term
• C) Fully depreciated over the longer of the lease term and its useful life, if there is no reasonable certainty that the lessee will obtain ownership by the end of the lease term..
• D) Fully depreciated over the longer of the lease term and its useful life, if there is no reasonable certainty that the lessee will obtain ownership by the end of the lease term.
• E) Fully depreciated only if the economic benefits to be realised from using the asset are for a period of greater than 10 years.

---

Definitions:

Economy

A system of production, distribution, and consumption of goods and services within a certain geographical area or country.

Agriculture

The science, art, and business of cultivating soil, producing crops, and raising livestock.

Societal Institution

An organized and established social system that meets basic societal needs, such as family, education, religion, and politics.

Economy

The system of production, distribution, and consumption of goods and services within a specific geographical region.