Which of the following measurements is unlikely to form part of any new accounting standard for the extractive industries?
A) historical
B) fair value
C) present value
D) market value

Question

Quizplus · Accepted Answer

Historical cost is less likely to be a focus in new accounting standards for the extractive industries because these standards tend to emphasize current or future values (like fair value, present value, or market value) to better reflect the economic realities of these industries. Historical cost does not provide information on current or future economic benefits or risks.

Which of the Following Measurements Is Unlikely to Form Part