IAS 2 Prohibits Which of the Following from Being Included

question 10

Multiple Choice

IAS 2 prohibits which of the following from being included in the cost of inventory?

• A) trade discounts received;
• B) freight (where the terms of sale are FOB destination);
• C) production overheads;
• D) import duties.

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Definitions:

Human Papillomavirus (HPV)

A group of more than 100 viruses, some of which are associated with certain cancers and diseases in humans, including cervical cancer.

Genitalia

The organs of the reproductive system, especially those external to the body.

Warty Growths

Benign protrusions on the skin or mucous membranes, typically caused by viruses, characterized by their rough surface texture.

Acquired Immune Deficiency Syndrome (AIDS)

A devastating and incurable illness that is caused by infection with the human immunodeficiency virus (HIV) and progressively weakens the body’s immune system, leaving the person vulnerable to opportunistic infections that usually cause death.