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Which of the following would be a red flag that the carrying amount of property, plant and equipment (PPE) might be overstated? A. The company
Which of the following would be a red flag that the carrying amount of property, plant and equipment (PPE) might be overstated? A. The company has recently recognised an impairment of PPE B. The PPE is carried at historical cost and prices of similar PPE have been increasing C. The companys PPE turnover has increased over time D. The companys PPE is young and it uses accelerated depreciation, whereas similar companies use straight-line depreciation E. The company uses a longer useful life assumption than similar companies.
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