Provisions Shall Be Recognised When

question 6

Multiple Choice

Provisions shall be recognised when:
I an entity has a present obligation
II it is possible that an outflow of resources will be required to settle the obligation
III the amount of the obligation can be reliably estimated
IV there has been a past event

• A) I, II and III
• B) II, III and IV
• C) I, III and IV
• D) I, II and IV

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Definitions:

Adrenocortical Hormones

Hormones produced by the adrenal cortex that regulate various bodily functions, including metabolism and immune response.

Addison Disease

A disorder in which the adrenal glands don't produce sufficient steroid hormones.

Secretion

The process by which substances are produced and discharged from a cell or gland for a particular function in the organism or for excretion.

Antidiuretic Hormone

A hormone produced by the pituitary gland that regulates water balance by reducing urine production.