A class of non-current assets as defined by AASB 116 is a category of non-current assets that:
A) were all purchased at the same time by the reporting entity.
B) all have a similar nature or function in the operations of the entity.
C) are disclosed as a single item without supplementary dissection in the financial report.
D) all have a similar nature or function in the operations of the entity, and are disclosed as a single item without supplementary dissection in the financial report.

Question

Quizplus · Accepted Answer

A class of non-current assets as defined by AASB 116 is a group of assets that have a similar nature or function in the operations of the entity and are disclosed as a single item without supplementary dissection in the financial report. Choice A is incorrect because non-current assets within a class can be acquired at different times. Choice B is close, but not complete enough, as the assets must also be disclosed as a single item. Choice C is incorrect because while a class of non-current assets may be disclosed as a single item, it is not always the case that supplementary dissection is not provided in the financial report.

A Class of Non-Current Assets as Defined by AASB 116