Which Statement Concerning AASB 1053 Application of Tiers of Australian

question 6

Multiple Choice

Which statement concerning AASB 1053 Application of Tiers of Australian Accounting Standards is not true?

• A) Entities classed as Tier 1 will have their financial disclosure requirements increased.
• B) Entities classed as Tier 2 will have their financial disclosure requirements in relation to the accounting standards reduced.
• C) The reporting burden on the majority of disclosing Australian entities is reduced.
• D) In effect only publicly accountable entities will be required to report using full Australian accounting standards.

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Definitions:

Yield To Maturity

The total expected return on a bond if held to its maturity date, including both interest payments and any gain or loss if the bond was purchased at a discount or premium.

Market Price

The current price level for transactions involving assets or services in a trade environment.

Market Price

The current exchange price for an asset or service in the marketplace.

Discount Rate

The interest rate used to determine the present value of future cash flows or to discount future obligations.