Which Statement Is Not Correct

question 70

Multiple Choice

Which statement is not correct?

• A)In accounting for mineral resources, IFRS 6 applies for the exploration and evaluation phase.
• B)In accounting for mineral resources, IAS 38 applies for the development phase.
• C)A mineral site entering the development phase would normally satisfy the six criteria required for capitalization.
• D)In accounting for mineral resources, IAS 38 is not applicable for any phase.

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Definitions:

Decrease in Payable

A reduction in the amount a company owes to its suppliers or creditors, indicating payments have been made.

Loss on Sale

The financial loss incurred when the selling price of an asset is less than its carrying amount on the books.

Patent Amortization

The systematic reduction of the recorded cost of a patent over its useful life to reflect its consumption or expiration.

Operating Section

The segment of a financial statement that details revenues and expenses directly related to the core business operations.