IAS 39 Requires That on Initial Recognition, Financial Assets and Liabilities

question 15

Multiple Choice

IAS 39 requires that on initial recognition, financial assets and liabilities be measured at:

• A) historic cost;
• B) fair value;
• C) lower of cost or market;
• D) net present value.

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Definitions:

Clean Water Act

A significant United States federal law establishing the structure for regulating water pollution and aiming to maintain and restore the cleanliness of waters.

Wetlands

Areas of land where saturation with water is the dominant factor determining the nature of soil development and the types of plant and animal communities living in the soil and on its surface.

Regulatory Taking

A situation where a government regulation limits the uses of private property to such a degree that the regulation effectively takes the property, requiring compensation.

Fifth Amendment

The Fifth Amendment to the United States Constitution guarantees the right against self-incrimination, ensures due process of law, and protects individuals from being subjected to double jeopardy.