CMA Intermediate · Financial Accounting · Property, Plant and Equipment (AS 10)
Which one of the following is NOT among the changes in estimates for which AS 10 says disclosure under AS 5 may arise?
The selling price of goods produced by the asset is not listed. AS 10 names residual values, dismantling, removal or restoration cost estimates, useful lives and depreciation methods as the estimate changes that may require disclosure under AS 5.
- AResidual values
- BEstimated costs of dismantling, removing or restoring items
- CUseful lives
- DSelling price of goods produced by the assetCorrect
Explanation
AS 10 lists residual values, estimated costs of dismantling, removing or restoring items, useful lives and depreciation methods as estimates whose change may need disclosure. The selling price of goods produced is not in that list.
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