Likely changes in the provisions standard

Multiple-choice questions: In order to be awarded CPD units you must answer the following five random questions correctly. If you fail the test, please re-read the article before attempting the questions again

  1. Which of these is the correct definition of a provision?

  2. Which of the following changes were made to the definition of a liability?

  3. When should a contingent liability to be recognised?

  4. How should a contingent liability be recognised?

  5. How does asymmetric prudence apply in IAS 37?

  6. Which of these is likely to represent the changes to definitions in IAS 37?

  7. Which of the following is an item which is included in the research project where there is a diversity of application per IAS 37?

  8. Which of the following statements are items proposed by the IASB? Statement 1 - An exposure draft in relation to contract costs, or Statement 2 - An active research project looking at IAS 37

  9. Which of these is not an example of a contract cost specifically mentioned in the exposure draft released by the IASB?

  10. Which, if any, of the following statements is correct? Statement 1 - The exposure draft relating to contract costs is likely to be resolved earlier than the results of the research project, or Statement 2 - The discussion around discount rates means an exposure draft is to be released soon