Which of the following statements is correct?
A) IFRS allows the cost, revaluation, or fair value models; ASPE allows only the cost model.
B) ASPE allows the cost, revaluation, or fair value models; IFRS allows only the cost model.
C) Both IFRS and ASPE allow the cost, revaluation, or fair value models.
D) IFRS allows the cost, revaluation, or fair value models; ASPE allows only the cost and revaluation models.

Question

Quizplus · Accepted Answer

IFRS (International Financial Reporting Standards) permits the use of the cost, revaluation, or fair value models for asset valuation, offering flexibility in accounting approaches. In contrast, ASPE (Accounting Standards for Private Enterprises) in Canada is more restrictive, generally allowing only the cost model for asset valuation, making statement A correct.

Which of the Following Statements Is Correct