In measuring recoverable amount under AASB 136, the future net cash flows from an asset are:
A)required to be added for 10 years from the reporting date
B)required to be discounted using the firm's weighted average cost of capital
C)required to be discounted using the time value of money, represented by current risk-free rate of interest
D)not required to be discounted

Question

Quizplus · Accepted Answer

The future net cash flows from an asset are required to be discounted using the time value of money, represented by the current risk-free rate of interest.

In Measuring Recoverable Amount Under AASB 136, the Future Net