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3. A non-current asset must be classified as held for sale if: Select one: Ca. none of the options b. the asset is expected to

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3. A non-current asset must be classified as "held for sale if: Select one: Ca. none of the options b. the asset is expected to be sold within 12 months after reporting period. c. the asset is held primarily for the purpose of trading. d. the asset is expected to be sold within its normal operating cycle. e. the asset's carrying amount will be recovered principally through a sale transaction rather than through use. 4. 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. Select one: Ca. False b. True 5. A non-current asset that is held to be distributed to the owners of the entity would be presented and measured in the same way that a non-current asset that is held for sale would be presented and measured. Select one: Ca. True C b. False 6. A plant which is classified as property plant and equipment (IAS 16) using the cost model is to be transferred to the held for sale" classification. It has a cost of $726 000 and its accumulated depreciation to date of transfer is $145 200. This asset has never before been impaired. On date of transfer the fair value is $508 200 with estimated costs to sell of $36 300, and the value in use is $435 600. The impairment consequences are as follows: Select one: Ca. The asset is impaired in terms of IAS 36 Impairment of assets but is not impaired in terms of IFRS 5 Non-current assets held for sale and discontinued operations. b. The asset is not impaired in terms of IAS 36 Impairment of assets but is impaired in terms of IFRS 5 Non-current assets held for sale and discontinued operations. c. The asset is not impaired in terms of either IAS 36 Impairment of assets or IFRS 5 Non-current assets held for sale and discontinued operations. Cd. None of the options are correct. Ce. The asset is impaired in terms of both IAS 36 Impairment of assets and IFRS 5 Non-current assets held for sale and discontinued operations

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