Question
20. How much is low value of the underlying asset? a. The new lease standard does not provide for a quantitative threshold for low value
20. How much is low value of the underlying asset?
a. The new lease standard does not provide for a quantitative threshold for low value asset
b. Low value asset is a matter of professional judgement
c. A lease of an underlying asset does not qualify as a low value lease if the nature of the asset is such that the asset is typically not of low value when new
d. All of the above
23. IFRS 16, paragraph 32, provides that the lessee shall depreciate the right of use asset over the useful life of the underlying asset under which of the following conditions?
a. Lease transfers ownership of the underlying asset to the lessee at the end of lease term
b. Lessee is reasonably certain to exercise a purchase option
c. Both a and b
d. Answer not given
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