Which of the Following Is Not a True Statement Regarding

question 53

Multiple Choice

Which of the following is not a true statement regarding assets as they appear on the balance sheet?

• A)Historical cost gives a good indication of the productive value of assets.
• B)Assets held for sale and measured at net realizable value represent a high degree of certainty as to measurement reliability.
• C)Certain types of deferred charges do not have any direct effect on future cash flows.
• D)In terms of additivity, it is questionable if a balance sheet should be added.