alleryStart learning →Which event is cited as a natural risk that may need separate disclosure for farming entities?
AA change in tax rates
BA severe drought
CA new accounting rule
DA rise in wages
Answer & Solution
Correct answer: B. A severe drought
Droughts, floods, frost, insect plagues and virulent disease outbreaks are listed as events giving rise to material items.
Keep practising Ind AS 20 Government Grants and Ind AS 41 Agriculture
Browse all Ind AS 20 Government Grants and Ind AS 41 Agriculture questions for CA Final, or explore more Financialreporting topics.
Related questions
When valuing a below-market government loan benefit, what must the entity consider?Why do income approach supporters reject crediting grants directly to equity?Which view backs the income approach as per Ind AS 20?How many broad approaches to accounting for government grants does Ind AS 20 describe?Why is information on government assistance useful to financial statement users?Why does government typically give grants according to Ind AS 20?Which grape-related step is outside Ind AS 41?Which activity is listed as agricultural activity in Ind AS 41?