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According to AASB 131,for a Jointly Controlled Operation

Question 59

Multiple Choice

According to AASB 131,for a jointly controlled operation:

A) each venturer uses its own property, plant and equipment, and carries its own inventory, and incurs its own expenses. However liabilities are incurred in, and finance is raised in, the name of the joint venture, as these represent the joint venture's obligations.
B) each venturer uses its own property, plant and equipment, and carries its own inventory. However, the joint venture incurs the expenses. Also, liabilities are incurred in, and finance is raised in, the name of the joint venture, as these represent the joint venture's obligations.
C) each venturer uses its own property, plant and equipment. However, inventory is carried by the joint venture, which also incurs the expenses. Furthermore, liabilities are incurred in, and finance is raised in, the name of the joint venture, as these represent the joint venture's obligations.
D) each venturer uses its own property, plant and equipment, and carries its own inventory. It also incurs its own expenses and liabilities, and raises its own finance, which represent its own obligations.
E) all assets are held, liabilities and expenses incurred, and finance raisings done in, the name of the joint venture.

Correct Answer: