Under IAS 16, which of the following is NOT included in the definition of property, plant, and equipment (PPE)? Select one: a. PPE can be tangible or intangible. b. PPE is held for use in the production of goods and services. c. PPE will be used over more than one accounting period. d. PPE is tangible.

Under IAS 16, which of the following is NOT included in the definition of property, plant, and equipment (PPE)? Select one: a. PPE can be tangible or intangible. b. PPE is held for use in the production of goods and services. c. PPE will be used over more than one accounting period. d. PPE is tangible.

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter11: Long-term Assets

Section: Chapter Questions

Problem 1MC: Property, Plant, and Equipment is considered why type of asset? A. current assets B. contra assets...

See similar textbooks

Similar questions

1. what are the procedures for applying for patents, copyrights, and trademarks? 2. describe the difference between tangible and intangible assets 3. how does accounting for depreciation differ when the asset is intangible as opposed to tangible?
Under IFRS, when a company chooses the revaluation model as its accounting policy for measuring property, plant, and equipment, which of the following statements is correct? a. When an asset is revalued, the entire class of property, plant, and equipment to which the asset belongs must be revalued. b. When an asset is revalued, individual assets within a class of property, plant, and equipment to which that asset belongs can be revalued. c. Revaluations of property, plant, and equipment must be made every three years. d. An increase in an asset’s book value as a result of the first revaluation must be recognized as a component of profit and loss.
According to IFRS, all of the following pieces of information about intangible assets mustbe disclosed in a company’s financial statements and footnotes except for:A. fair value.B. impairment loss.C. amortization rate.
These include both tangible assets such as (b) and intangible assets such as (c). To pay for these assets, they sell (d) assets such as (e). The decision about ...
DD
1. Identifiable intangible assets are those intangible assets that:A. have been purchased by the entity from external parties.B. have an unlimited life.C. can have a value placed on them separately from other assets of the entity. D. cannot be separately sold.
Based on the knowledge that you have learned from this unit and the relevant accounting standards, answer the following questions. Your answers must demonstrate your own understandings and applications of relevant accounting standards, but not a direct quote of the standards. a.Use an example to explain what are included in the original cost of property, plant, and equipment when they are initially acquired. b. What is the basic principle for valuing property, plant, and equipment acquired in exchange for other non-monetary assets? c. Use an example to illustrate how gain or loss on disposal is calculated and recorded when an item of property, plant, and equipment is disposed of.
5. An intangible asset may be recorded:A. if acquired from an external party at a cost.B. if it is internally generated and fits the definition of an asset and meets the associated recognition criteria.C. at a value other than cost if that value more reliably records the worth of the intangible asset.D. at the cost of the asset, which must exclude any additional expenditure required to prepare the asset for use.
Which of the following is NOT classified as a non-current asset? a) Land b) Buildings c) Inventory d) Equipment
Which of the following must be recorded in the accounting records when an asset that is NOT held for sale is derecognized? A Removal of the asset. B Gain or loss on derecognition. C All of the above items must be recorded in the accounting records. D Depreciation up until the date of derecognition.
3
Which of the following expenditures incurred in connection with the acquisition of a piece of machinery should be charged to the asset account? Transportation charges Neither transportation charges nor Installation charges Installation charges Transportation charges and Installation charges