Which of the Following Statements Relating to AASB 8 Is

question 17

Multiple Choice

Which of the following statements relating to AASB 8 is not true?

• A) It adopts a management approach
• B) It applies to all for profit entities
• C) Reconciliations are required for revenues, profit and loss and other material items
• D) None; all of the statements are true

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Definitions:

Unconsummated Transaction

A business deal or trade that has been negotiated but not finalized or completed.

Tax

A compulsory financial charge or some other type of levy imposed upon a taxpayer by a governmental organization in order to fund government spending and various public expenditures.

Capitalism

An economic system characterized by private ownership of the means of production, competition, and the pursuit of profit.

Self-Interest

Self-interest is a concept in economics that denotes individuals acting in pursuit of their own benefits, often driving economic transactions and market allocations.