The Framework's recognition criteria provides that "an asset is recognised in the balance sheet when it is ________ that the future economic benefits will flow to the entity and the asset has a cost or value that can be measured __________.
A)possible; reliably.
B)probable; accurately.
C)probable; reliably.
D)certain; accurately.
E)None of the given answers.

Question

Quizplus · Accepted Answer

An asset is recognised in the balance sheet when it is probable that the future economic benefits will flow to the entity and the asset has a cost or value that can be measured reliably.
Therefore, the correct option is:
3. probable; reliably.

The Framework's Recognition Criteria Provides That "An Asset Is Recognised