Which of the Following Is Not Recognised as an Expense

question 1

Multiple Choice

Which of the following is not recognised as an expense in accordance with IAS 2?

• A) Cost of sales;
• B) Write-downs of inventories to net realisable value;
• C) Reversal of write downs to net realisable value;
• D) Inventory items used by an entity as components in self-constructed property, plant or equipment.

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Definitions:

Geographic Area

A specific part of the Earth's surface defined by physical and geographical boundaries or coordinates.

Intermediate Courts of Appeal

Judicial bodies that exist between lower courts and the highest court in a jurisdiction, responsible for reviewing decisions and interpretations of law from trial courts.

Federal Circuit Courts of Appeal

The Federal Circuit Courts of Appeal are intermediate appellate courts in the United States responsible for reviewing decisions from federal district courts within their geographic circuit.

Limited Jurisdiction

A legal term referring to courts that are restricted in the types of legal matters they can decide, usually based on the subject matter, the amount in controversy, or the geographical area.