Which of the Following Statement Is True of Revaluation Model

question 24

Multiple Choice

Which of the following statement is true of revaluation model in AASB 116?

• A) It is the preferred model of managers with bonus based payments.
• B) It is required under AASB 116.
• C) Once adopted the firm can no longer revert back to cost model.
• D) Accumulated depreciation is required to be eliminated against the gross carrying amount of the asset.
• E) None of the given answers.

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Definitions:

Prepared Behaviors

Instinctual or predisposed behaviors that organisms are born with, which enhance survival and adaptation.

Open Program

A flexible framework or guideline that allows adjustment and modifications based on feedback or changing conditions.

Closed Program

A system or operation that is not open to external influences or modifications, often operating within a restricted or predefined set of rules.

Genetically Established

Pertains to traits or characteristics that are predetermined by an individual’s DNA.