Which of the Following Statements Is Not Correct

question 8

Multiple Choice

Which of the following statements is not correct?

• A)intangible assets are to be derecognised when there are no expected future benefits from the asset
• B)amortisation of an intangible with a finite useful life does not cease when the asset becomes temporarily idle.
• C)amortisation of an intangible with an indefinite life does not cease when the asset is retired from active use.
• D)gains or losses on disposal are calculated as the difference between the proceeds on disposal and the carrying amount at point of sale,with amortisation calculated up to the point of sale

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Definitions:

Annual Dividend

A yearly payment made by a corporation to its shareholders, often derived from profits.

Dividend Increase

An action taken by a company to raise the dividend amount paid to its shareholders, typically as a sign of strong financial health or increased profitability.

Required Rate of Return

The minimum annual percentage return an investor expects to earn from an investment to consider it worthwhile.