Indicate whether the following statement is true or false: 

The residual value of an intangible asset must be determined in terms of an active market.

Indicate whether the following statement is true or false:

 Costs involved in the development phase of intangible assets (other than goodwill) that meet the criteria for capitalisation must be tested for impairment annually. Any impairment loss expensed may be reversed in subsequent years if the cause of the impairment has disappeared.

Indicate whether the following statement is true or false:

When calculating an asset’s value in use, more emphasis should be placed on external evidence rather than internal evidence.

Indicate whether the following is true or false.

An entity that was using the fair value model to measure its investment properties acquired an investment property (not under construction) for which a fair value was not reliably measurable on acquisition date. At this date, the entity determines that this property’s fair values will not be reliably measurable on a continuing basis and as a result, the property must be measured at cost until disposal.

Indicate whether the following statement is true or false:

A non-current asset that is held for sale but requires modification before the intended sale can take place, would not be considered for classification as ‘held for sale’ until the modification is complete.

Can a building that is used by an entity to house its staff be classified as investment property’?

Indicate whether the following statement is true or false: 

The only difference between an intangible asset and an asset as defined by the Conceptual Framework is that an intangible asset is an asset that has no physical substance.

Fill in the missing amounts:

 A plant is acquired for an amount of C100 000, payable after one year, where these credit terms are considered to be normal. The present value of the amount payable is C90 909. The initial measurement of the acquired plant is C

(Please type the correct number only, i.e.100000 or 90909, no currency and no space)

An entity had:

·      taxable

temporary differences at the end of 20X0 of C100 000.

·      taxable

temporary differences at the end of 20X1 of C120 000.

There were no exempt

temporary differences.

Tax at 30% was levied

in 20X0 but this reduced to 28% in 20X1.  

 The tax rate reconciliation

presented in the notes to the financial statements for the year ended 31

December 20X1:

Select one:

Fill in the missing words:

Answer

 differences

will cause deferred tax whereas Answer