Under AASB 123 'Borrowing Costs',a Qualifying Asset Is Defined As

question 5

Multiple Choice

Under AASB 123 'Borrowing Costs',a qualifying asset is defined as:

• A) an asset that takes more than twelve months to complete
• B) an asset that necessarily takes a substantial period of time to get ready for its intended use or sale
• C) a long-term construction project for the construction of ships, dams, roads or buildings
• D) an asset that necessarily takes more than two years to complete

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Definitions:

Voluntary Transfer

The intentional conveyance of property rights or titles from one party to another without coercion.

Lost Property

Items that the owner has unintentionally and inadvertently left somewhere, indicating the owner likely does not know the location.

Transfer of Personal Property

The act of moving ownership or title of movable property from one party to another, which can be accomplished through sale, gift, or exchange.

Transfer of Real Property

The process by which ownership of land or property is moved from one party to another through a deed or other legal instrument.