Which of the following statements in relation to government grants is correct?

Question

Quizplus · Accepted Answer

According to AASB 141/IAS 41, government grants related to biological assets measured at fair value should be recognised in profit or loss as a deduction from the carrying amount of the biological asset. Grants related to biological assets measured at cost should be recognised in profit or loss over the periods necessary to match them with the related costs that they are intended to compensate. Therefore, option C is the correct statement. The other options are incorrect as they refer to different accounting standards or measurement methods.

Which of the Following Statements in Relation to Government Grants