It Is Possible to Measure Assets in Several Ways: the Possible

question 15

Multiple Choice

It is possible to measure assets in several ways: the possible ways include:
I. $\quad$ cost – an input or entry measure
II. $\quad$ replacement cost – an input or entry measure for a equivalent asset in new condition (an input or entry measure)
III. $\quad$ value in use (present value of future cash flows)
IV. $\quad$ current cost – the cost of replacing the production capacity that an asset had when new (an input or entry measure)
V. $\quad$ fair value less cost to sell
VI. $\quad$ fair value used under revaluation model
-When the revaluation model is adopted, the carrying amount at reporting date is measured by:

• A)VI in all cases
• B)VI, except when VI is less than IV, in which case IV is used
• C)IV in all cases
• D)VI, except when the both III and V are less than VI, when the greater of III and V is used

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Definitions:

Triplens

Harmonics in an electrical system that are multiples of the third harmonic (e.g., 3rd, 9th, 15th), often causing additional heating in neutral wires.

Sequence

The order in which events, movements, or things follow each other or are arranged serially.

Transformer

An electrical device that transfers electrical energy between two or more circuits through electromagnetic induction, typically changing the voltage and current levels.

True-RMS

A measurement of AC voltage or current that accurately reflects the root-mean-square value, providing a true representation of power in a circuit, regardless of waveform shape.