Which of the Following Statements Is True of IFRS 1

question 46

Multiple Choice

Which of the following statements is true of IFRS 1?

• A) It does not permit the recognition of intangible assets in balance sheets.
• B) After its issuance in July 2001, it has not been amended as of yet.
• C) It deals primarily with fair value measurement of assets.
• D) It provides exemptions to complying with IFRS in specific areas.

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Definitions:

Cash Inflow

The total amount of money being transferred into a company, usually from operations, investments, or financing activities.

Residual Value

The estimated value of an asset at the end of its useful life.

Lessor

An entity that leases property or equipment to another party, known as the lessee, under a lease agreement.

Debt-Related Restrictions

These are covenants or conditions included in loan agreements that limit certain actions of the borrower to protect the lender.