Long-term investments moved to current are transferred at:
Alower of cost and fair value
Bfair value on the transfer date
Chigher of cost and fair value
Dlower of cost and carrying amount
Answer & Solution
Correct answer: D. lower of cost and carrying amount
The transfer from long term to current uses the lower of cost and the carrying amount at the transfer date.
Keep practising AS 13 Accounting for Investments
Browse all AS 13 Accounting for Investments questions for CA Inter, or explore more Accounting topics.
Related questions
Profits on disposal of current and long-term investments are shown:Statements classify fixed assets, investments and current assets into:A readily realisable investment is meant to be held for 18 months. It is:A readily realisable investment made on 1 April is intended to be sold on 15 February nextIf dividend cannot be allocated except arbitrarily, cost is cut only if it:Interest and rentals on investments are shown separately for:A significant restriction on selling an investment must be:Disclosure of investments must include the policies for determining: