Corporate Accounting MCQS With Answers

 

36. What is the correct treatment for all eligible borrowing costs under Ind AS 23?

A. expensed

B. capitalised

C. invested

D. none of the above

B. capitalised

37. Which of the following is not a qualifying asset under Ind AS 23 Borrowing Costs?

A. manufacturing plants

B. made to order inventory

C. mass produced inventory

D. investment property

C. mass produced inventory

38. Which of the following items should be disclosed as per the requirements of Ind AS 2?

A. carrying amount of inventories pledged as security for liabilities

B. average lead time of procurement for major classes of inventories

C. list of major customers to whom the inventories were sold during the reporting period

D. average holding period of inventories of the entity as at the end of the reporting period

A. carrying amount of inventories pledged as security for liabilities

39. Which of the following items are excluded from the scope of Ind AS 2 Inventories?

A. inventories that are stated at net realisable value

B. assets held for sale in the ordinary course of business

C. inventories whose fair value is more than the cost

D. agricultural produce at the point of harvest

D. agricultural produce at the point of harvest

40. Under Ind AS 2, fixed production overheads should be allocated to items of inventory on thebasis of ____ production capacity.

A. actual

B. abnormal

C. normal

D. estimated

C. normal

41. Which of the following cost models is not permitted under Ind AS 2?

A. fifo

B. lifo

C. actual cost

D. simple average

B. lifo