IAS 2 Allows Which of the Following to Be Capitalised

question 19

Multiple Choice

IAS 2 allows which of the following to be capitalised into the cost of inventory?

• A) storage costs for finished goods;
• B) selling costs;
• C) normal wastage costs;
• D) administrative overheads.

---

Definitions:

Atoms

Fundamental particles that make up elements, characterized by a central nucleus encircled by electrons.

Iron

A chemical element with symbol Fe and atomic number 26, known for its role in human nutrition and its widespread use in construction and manufacturing.

Oxygen

A chemical element with symbol O and atomic number 8, essential for most life forms on Earth as a component of water and air.

Fluorine

A chemical element with symbol F and atomic number 9, known for being the lightest halogen and having extremely reactive and electronegative properties.