Which of the following statements is INCORRECT regarding the recording of the related increase or accretion in the carrying amount of an asset retirement obligation (ARO) ?
A) Under ASPE, it is recognized as interest expense.
B) Under ASPE, it is recognized as an operating expense (but not as interest expense) .
C) Under IFRS, it is recognized as a borrowing cost.
D) The amount should be calculated using the same discount (interest rate) as was used to calculate the initial present value of the ARO.
Correct Answer:
Verified
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