AASB 133 Applies to the Computation and Presentation of Earnings

question 17

Multiple Choice

AASB 133 applies to the computation and presentation of earnings per share by:

• A) only reporting entities whose shares are publicly traded
• B) reporting entities whose shares are publicly traded, or of entities that are in the process of issuing ordinary shares that will be traded in public markets
• C) only those entities that are in the process of issuing ordinary shares that will be traded in public markets
• D) both reporting and non-reporting entities

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Definitions:

Circular-Flow Diagram

The circular-flow diagram is an economic model illustrating the flow of goods and services, income, and payments between households and businesses in an economy.

Simple Economy

An abstract economy with few components, simplifying analysis of economic principles.

Households

The basic economic units consisting of all individuals who live together and make joint decisions on consumption and labor supply.

Firms

Entities that produce goods or provide services, typically with the aim of making a profit.