QUESTION 3 You have an outstanding debt with an overseas company, you adjust the figures according to the exchange rate at June 30, 20XX. There has been no transaction on June 30, why do you make an adjustment? a. You are required to update any outstanding overseas investments in their foreign currency, daily. b. You are required to report the correct figures at the end of each month in the year. C. You must correctly report your figures for the end of financial year to give a true and fair view of your accounts at years end. QUESTION 5 Under the area of interest method ... a. We group the costs for the mines together even if one of the mines does not go ahead. b. We keep the costs for each site separately and impair any sites that are not going ahead. O c. We must ensure that we only mine the most valuable site. QUESTION 6 In Extractive Industries, there are two main methods of accounting, what are these two methods? a. Full Cost and Area Exposed b. Full Cost and Area of Evaluation C.Area of Interest and Full Cost d. Area of Interest and Write Off Method QUESTION 7 Company A in Australia had an outstanding loan of $100,000 US dollars on June 30, 20XX and interest was calculated at 8% at the end of the financial year. What is the amount of interest charged to Company A if the exchange rate is $0.62? O a $8,000 b. $12,903 OC. $4,960 O d.$10,500 QUESTION 8 The Assets under Construction stage happens after what stage in the mining process. a. Mining Stage b. Exploration and Editing Exploration and Evaluation d. Production Stage QUESTION 9 On completion of Exploration and Evaluation stage, a mine will then proceed into what stage? a. Production Stage b. Assets under Constructing Stage C Mining Stage d. Impairment Stage