Which of the Following Statements Is Correct with Respect to Accounting

question 12

Multiple Choice

Which of the following statements is correct with respect to accounting for biological assets as required in AASB 141:

• A) A biological asset may initially be recognised at cost when market-determined prices or value are not available and for which alternative estimates of fair value are not available.
• B) If a biological asset is initially recognised at cost it should be measured at cost less any accumulated depreciation.
• C) A biological asset that was initially recognised at fair value less point-of-sale costs may subsequently be recognised at cost when fair value less point-of-sale costs is no longer available.
• D) A biological asset may initially be recognised at recoverable amount.
• E) All of the given answers.

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Definitions:

State Unemployment

A program providing financial assistance to unemployed workers from their state government.

Federal Unemployment Taxes

Taxes paid by employers to the federal government to fund unemployment benefits for workers who lose their jobs.

Payroll Tax Expense

Taxes that employers are required to pay on behalf of their employees, such as social security and Medicare taxes.

Wage Base Limits

The maximum amount of income that is subject to social security or other payroll taxes within a tax year.