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Where statute and AS conflict on disclosure, which prevails?
AAS
BStatute
CWhichever is more conservative
DICAI Guidance Note
Answer & Solution
Correct answer: B. Statute
1. Step 1: Per Ch 1, "in case of any conflict, Statute would prevail over Accounting Standards".
2. Step 2: This applies to disclosure as much as to recognition.
3. Step 3: Hence (B).
_Source: ICAI BoS CA Inter Paper 1, Ch 3 "Applicability of Accounting Standards"_