In which of the following contexts would accountants be required to exercise professional judgement?
A) Determining depreciation method used for non-current assets.
B) Estimating net realisable value of inventories.
C) Deciding which model to use to measure value of property, plant and equipment after initial recognition.
D) All of the options are correct.

Question

Quizplus · Accepted Answer

Accountants are expected to exercise professional judgement in all of the given contexts. These decisions require careful consideration of relevant accounting standards and guidelines, as well as the specific circumstances of the company and its assets. Professional judgement is essential to ensure that financial statements are accurate, reliable and fairly presented to stakeholders.

In Which of the Following Contexts Would Accountants Be Required