WorksheetsSMC FR Internals 3 (2022-10)
Total questions: 10
Worksheet time: 39mins
A contract is, or contains, a lease if the contract conveys the right ___________________ an identified asset for a period of time in exchange for consideration.
To Use
To Control The Use
To Obtain Economic Benefits From
To Sell
A firm purchase commitment is an agreement, binding on both parties, that -
(A) Specifies all significant terms, including the price and timing of the transactions.
(B) Includes a disincentive for non-performance, which is sufficiently large to make performance highly probable.
(C) Is with an unrelated party (IFRS 5 / NCA Held for Sale)
A & B
B & C
C & A
A, B & C
A Ltd acquired an asset on 1st Jan 2017 for Rs.10L, and had cumulatively depreciated it for Rs.4L till 31st Dec 2021. Fair Value of the Asset as on that date was Rs.6.5L with cost to sell at Rs.1L. The Value in Use was measured at Rs.5.2L. Impairment Loss on that asset as at 31.12.2021 is -
Rs.NIL
Rs.0.50L
Rs.3.8L
Rs.3.5L
Which of the following "IS / ARE NOT A CONDITION" for an asset to be classified as "Held for sale" -
(A) It must be available for immediate sale in its present condition
(B) Its sale must be highly probable
(C) The management must be committed to a plan to sell the asset
(D) The management must have an active programme to locate a buyer
(E) The asset should be fully depreciated
Only A
A & E
Only E
A, D & E
A Ltd (Lessor) and B Ltd (Lessee) entered into an agreement on 1st April 2018 to lease an asset from 1st July 2018. From July 2018 till Sep 2018, no rental needs to be paid. B Ltd has an option to extend the lease from 1st Jan 2022 for a period of 2 Years at a significantly reduced lease rental. Identify Lease Term in "Months"
60 Months
63 Months
66 Months
69 Months
Which of the following shall IAS 41 (Agriculture) be applied to?
Bearer Plants related to Agricultural Activity
Agricultural Produce at the Point of Harvest
Land Related Agricultural Activity
All The Options
A Ltd owns a property which was given under Finance Lease to B Ltd. B Ltd subleases the asset to C Ltd under Operating Lease. How will the asset be disclosed in the Balance Sheets of A Ltd and B Ltd?
Not Disclosed in A Ltd. Investment Property in B Ltd.
Investment Property in A Ltd. Owner Occupied Property in B Ltd.
Owner Occupied Property in A Ltd. Investment Property in B Ltd.
Owner Occupied Property in A Ltd. Not Disclosed in B Ltd.
A Ltd is setting up a new refinery outside the city limits. To facilitate
the construction of refinery and its operations, it is spends Rs.10
Crores on construction and development of railway siding, road and
bridge. It will not have ownership rights on these items, and they
are also available for use to other entities and public at large. How should the amount be accounted?
Capitalized As Separate Asset
Expensed Off to P&L A/c
Capitalized As Enabling Asset as part of Overall Project
At the Choice of the Company
Which of the following should be tested for impairment irrespective of indicators of impairment?
A. Goodwill on Business Combination
B. Capital Work in Progress
C. Intangible Assets With Indefinite Useful Life
D. Investment Properties
A & B
B & C
C & D
A & C
A Ltd took an asset on lease for a period of 5 Years, with annual lease rental of Rs.1L (increasing by Rs.10K every year i.e. Rs.1.1L for 2nd Year, 1.2L for 3rd Year etc.). In addition, A Ltd will also be required to pay additional amount based on extent of usage (approximately Rs.20K based on projected usage). In addition, A Ltd is required to pay Rs.30K at 5th Year as onetime Lease Closure Fee. It has incurred Rs.50K as Legal Expenses on Lease. Determine ROU Asset Initial Recognition. Discount Rate 10%. (Round Off to Nearest Lakh with 1 Decimal. Don't Type Rs. in front of the amount)
(a)
