CAF-1 · Chapter 10 · Question 9 of 15
In the absence of a specifically applicable IFRS, management must use judgement to develop an accounting policy. Which of the following is the FIRST source management should refer to?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: C) IFRSs dealing with similar and related issues.
Explanation
In making such judgement, management should first consider the requirements in IFRSs dealing with similar and related issues, followed by the Conceptual Framework.
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