A 40% Venturer in a Jointly Controlled Operation Sells an Asset

question 5

Multiple Choice

A 40% venturer in a jointly controlled operation sells an asset to the joint venture.The asset has a fair value of $5 000 000.The carrying amount in the books of the venture was $4 000 000.The profit to be recognised by the venturer is:

• A) $5 000 000.
• B) $4 000 000.
• C) $1 000 000.
• D) $600 000.

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Definitions:

Very-Low-Birth-Weight (VLBW)

Very-Low-Birth-Weight refers to newborns weighing less than 1500 grams (3 pounds, 4 ounces) at birth, often linked to premature birth and requiring specialized medical attention.

Premature

Born before the full term of gestation. (Also referred to as preterm.)

Low Birth Weight

A condition in newborns where the birth weight is less than 2,500 grams (5 pounds, 8 ounces), often due to premature birth or developmental issues during the pregnancy.

Adequate Prenatal

Describes sufficient and appropriate medical and nutritional care during pregnancy, crucial for the health and well-being of both mother and child.