AASB 139 Requires That on Initial Recognition, Financial Assets and Liabilities

question 23

Multiple Choice

AASB 139 requires that on initial recognition, financial assets and liabilities be measured at:

• A) historic cost;
• B) fair value;
• C) lower of cost or market;
• D) net present value.

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Definitions:

Operant Conditioning

A process of teaching in which a behavior's force is adjusted through the use of incentives or consequences.

Reinforcements

In psychology, it refers to anything that strengthens or increases the likelihood of a behavior by following it with a desirable outcome or reward.

Law Of Effect

A principle that states behaviors are selected and reinforced based on their outcomes or effects, leading to the likelihood of that behavior being repeated.

Temporal Contiguity

The idea that events experienced close together in time are readily associated with each other.