1. Shine Ltd estimated an impairment loss of $10,000 against its single cash-generating unit. The company had the following assets:

headquarters building $132415; plant $70525; goodwill $11221. The net carrying amount of the plant after allocation of the impairment loss is: A. 70525 B. 3293 C. 3475 D. None of these

2.

Which of the following statements about the conceptual framework is true?

Select one:

The Conceptual Framework for Financial Reporting provides guidelines intended to meet the information needs of a range of users who are able to command that reports be prepared to their own particular needs.

the Conceptual Framework for Financial Reporting, SAC 1, and SAC 2 provides guidelines on the preparation of financial statements for a specific group of users.

The conceptual framework deals only with the objective of general purpose financial statements.

The conceptual framework deals only with the objective of special purpose financial statements.

3.

A company depreciates an item of machinery using the straight-line method. The asset was revalued upwards after two years of use. The remaining useful life of four years and the residual value are determined to remain the same. Which of the following relationships reflects the effect of the revaluation on the prospective depreciation of the machinery?

Select one:

A.

Depreciation rate = Higher; Annual depreciation expense = Higher

B.

Depreciation rate = Higher; Annual depreciation expense = Same

C.

Depreciation rate = Same; Annual depreciation expense = Higher

D.

Depreciation rate = Same; Annual depreciation expense = Same

4.

The cost of an intangible asset is comprised of the fair value of the consideration:

Select one:

A.

plus indirect costs

B.

plus directly attributable costs

C.

less legal costs incurred in the purchase

D.

less directly attributable costs.

Clear my choice