Which statement is correct about the derecognition of a matured obligation?
A)There will be a gain on retirement.
B)There will be a loss on retirement.
C)There will be no gain or loss on retirement.
D)There could be either a gain or loss on retirement.

Question

Quizplus · Accepted Answer

When a matured obligation is derecognized, there will be no gain or loss on retirement. This is because the obligation has already been fulfilled and no further adjustment needs to be made.

Which Statement Is Correct About the Derecognition of a Matured