The statement concerning asset valuation is that is incorrect is:
A)Subject to a few exceptions,non-current assets,after acquisition,can be measured at either cost or fair value.
B)If non-current assets are measured using the cost basis,they cannot be valued at less than their recoverable amount.
C)If non-current assets are measured using the fair value basis fair value must be regularly reassessed.
D)Assets and liabilities are recorded initially at their historical cost.

Question

Quizplus · Accepted Answer

Non-current assets measured using the cost basis can indeed be valued at less than their recoverable amount if they are impaired. The recoverable amount is the higher of an asset's fair value less costs to sell and its value in use. If the carrying amount exceeds the recoverable amount, an impairment loss is recognized.

The Statement Concerning Asset Valuation Is That Is Incorrect Is