- 1 Marks
Question
IAS 20 deals with Accounting for Government Grants and Disclosure of Government Assistance. In the Standard, a grant in the form of a non-monetary asset may be valued at …………… or …………… value.
Answer
Fair value or Nominal value
Explanation: According to IAS 20, a non-monetary government grant, such as assets provided by the government, can be recorded at either fair value, representing market value, or nominal value, often a minimal or symbolic amount.
- Tags: Financial Reporting, Government Grants, IAS 20, Non-Monetary Assets, Valuation
- Level: Level 3
- Uploader: Dotse