answer the following mcqs no need of explanation

9.

Which item of cost is not included in cost of inventories?

Single choice.

(1 Point)

Import Duties

Foreign Exchange Differences

Factory Overhead Costs

Direct Cost of Material

10.

IAS-2 do not permit cost formulas for Inventories:

Single choice.

(1 Point)

LIFO

FIFO

Weighted Average

None of above

11.

___________ prescribes the accounting treatment for property, plant and equipment (PPE).

Single choice.

(1 Point)

IFRS 16

IAS 16

IAS 36

IAS 26

12.

Two Trucks were purchased on the 1st July 2017 at a cost of Rs. 20 million. It is being depreciated over 10 years. The company decided to use the revaluation model for valuing Trucks in 2020 and at the 30th June 2020, the Trucks were valued at Rs. 22 million by a professional valuer.

Revaluation Gain/(Loss) as on 30th June 2020 would be ___________.

Single choice.

(1 Point)

Gain of Rs. 8.6 Million

Loss of Rs. 8.2 Million

Gain of Rs. 22 Million

Loss of Rs. 10 Million

13.

Which one of the following statements best describes the 'carrying value' of non-current asset?

Single choice.

(1 Point)

The cost of the asset less its residual valueThe cost of the asset less its residual value

The amount at which the asset is recognised in the balance sheet after deducting any accumulated depreciation and accumulated impairment losses

The higher of the asset's NRV and its value in use

The higher of the asset's value in use and its recoverable amount

14.

BBA (pvt) Ltd. has purchased a used Plant for its Factory. BBA (pvt) Ltd. has incurred the following costs:

Agreed price to be paid to vendor, Rs. 100,000/-

Dismantling the plant at its current location, Rs. 5,000/-

Transportation cost to BBA (pvt) Ltd related to plant, Rs. 1,000/-

Plant's refurbishment costs prior to re-installation, Rs. 1,000/-

Re-installation cost, Rs. 850/-

According to IAS 16 - 'Property, Plant and Equipment', the total Cost included in non-current assets (PPE) in respect of the purchased plant should be:

Single choice.

(3 Points)

Rs. 106,850/-

Rs. 107,850/-

Rs. 106,000/-

Rs. 97,850/-