IAS 24

question 13

Multiple Choice

IAS 24:

• A) prescribes how transactions with related parties are to be measured;
• B) defines the recognition criteria of related party transactions;
• C) explains the format of financial statements of entities with related parties;
• D) deals purely with related party disclosures.

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Definitions:

Charge Of Negligence

An accusation made against an individual or entity for failing to act with the care that a reasonably prudent person would have in the same circumstances.

Lawfully

In a manner that is in accordance with the law, legally permitted or authorized.

Duty To Act

A legal obligation that requires a person to take a certain action or perform a certain duty, often in emergency situations to avoid liability for harm caused by nonaction.

Innocent Conduct

Actions or behavior that are performed without malice or intent to harm, often considered in legal contexts to determine culpability or liability.