Assets and Liabilities, and Income and Expenses May Be Off-Set

question 20

Multiple Choice

Assets and liabilities, and income and expenses may be off-set if:

• A) they are financial assets and liabilities;
• B) they are in respect of borrowing and lending activities such as interest revenue and interest expense;
• C) required or permitted by a standard;
• D) there is no tax effect.

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Definitions:

Adenine

A nucleobase (a building block for DNA and RNA) that pairs with thymine in DNA and with uracil in RNA.

Hydrogen Bonds

A type of weak chemical bond formed when the slightly positive hydrogen atom of one molecule is attracted to the slightly negative atom of another molecule, often oxygen or nitrogen.

Guanine

One of the four main nucleobases found in the nucleic acids DNA and RNA, characterized by its ability to form three hydrogen bonds when paired with cytosine.

Cytosine

A nitrogenous base found in DNA and RNA molecules, pairing with guanine in the genetic code.