Which of the following item/s do not meet the definition of 'property, plant and equipment' according to IAS 16 Property, plant and Equipment?

1. Vehicles rented out by a car-hire company.

2. Computers used for administration purposes.

3. Equipment used in the factory for less than one year.

4. Machinery used in a factory for more than one year.

5. A patent necessary for manufacturing.

(Choose one correct option only)

An entity incurred N$100 000 as the cost of day-to-day servicing of an item of plant during 20X1. Amounts exceeding N$50 000 are considered to be material.

Due to the materiality of the amount, the N$100 000 must be capitalised.

Consider the following statements in relation to IAS 16, Property plant and equipment:

1. If an item of property, plant and equipment which has been recognised as an asset needs regular major inspections, the cost of each inspection is added to the carrying amount of the asset when it occurs.

2. If an item of property, plant and equipment which has been recognised as an asset needs regular major inspections, the cost of each inspection is expensed in the statement of profit or loss when it occurs.

3. Any remaining carrying amount of the cost of the previous inspection is derecognised.

4. Any remaining carrying amount of the cost of the previous inspection is added to the carrying amount of the new inspection.

According to IAS 1 Presentation of Financial Statements, which of the following should be reported on the face of the statement of financial position rather than in the notes to the financial statements?

1. The number of shares in issue

2. The classes of property, plant and equipment

3. The classification of assets as non-current and current

4. The composition of trade and other receivables into debtors, prepayments and accrued income

At the end of the reporting period, an entity has a balance on trade accounts receivable of N$700 000 and a balance on the allowance for doubtful debts of N$70 000. On the face of the statement of financial position:

(Choose one correct option only)

Consider the following statements in relation to IAS 1, Presentation of Financial Statements:

1. Items that are material to users are presented separately.

2. Items that are immaterial to users are aggregated with other items.

3. There is no need to disclose information required by an IFRS if it is not material.

Which measurement basis is explicitly defined as "the price that would be received to sell an asset, or paid to transfer a liability, in an orderly transaction between market participants at the measurement date"?

An entity that trades as an antique dealer buys inventory at a cost of N$30 000 on 1 July 20X0. Inventory costing N$10 000 is expected to be sold during 20X1 and inventory costing N$20 000 is expected to be sold during 20X2.

None of this inventory is sold during the year ended 31 December 20X0.

How will this inventory be classified on the statement of financial position at 31 December 20X0?

(Choose only one correct option)

Borrower plc raises a loan of N$100 000 during 20X1. The loan is to be repaid in two instalments, N$40 000 during 20X5 and N$60 000 during 20X6. The reporting date of the company is 31 December.

An agreement is signed on 5 January 20X5 to delay the repayment of the N$40 000 instalment to 20X6. The financial statements are published on 31 January 20X5.

The disclosure required in the financial statements at 31 December 20X4 is as follows:

Choose one correct option only)

In the 2018 Conceptual Framework, the recognition of an asset is contingent upon which of the following criteria?

(Choose all the correct options)