According to AASB 102 inventories include assets:
A) Such as service contracts arising under construction contracts.
B) Such as assets held long-term for use in the production process.
C) Such as financial instruments.
D) Held in the process of production, preparation or conversion for sale.
E) None of the given answers.

Question

Quizplus · Accepted Answer

AASB 102 defines inventories as assets held in the process of production, preparation, or conversion for sale. Service contracts arising under construction contracts, assets held long-term for use in the production process, and financial instruments are not considered inventories.

According to AASB 102 Inventories Include Assets