Under IFRS, Which of the Following Is NOT a Condition

question 26

Multiple Choice

Under IFRS, which of the following is NOT a condition for an investment to be classified as current?

• A) It is held primarily for trading purposes.
• B) It is a cash equivalent.
• C) It must be expected to be sold or realized within 12 months from the statement of financial position date.
• D) It must be accounted for under the cost model.

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Definitions:

National Recovery Administration

A New Deal agency established in 1933 to combat the Great Depression by setting business codes and labor standards.

Great Depression

A severe worldwide economic depression that took place mostly during the 1930s, beginning in the United States.

Global Phenomenon

A term used to describe trends, movements, or events that extend across borders and cultures, affecting or involving people worldwide.

New Deal

A set of actions including government projects, financial amendments, and regulations put into place by President Franklin D. Roosevelt in the 1930s in the United States, aiming to combat the effects of the Great Depression.