On 19 December 2019 Star Limited bought goods from Morgan plc for 80,000 British Pounds. At
the date of the transactions, the exchange rates were: £1 = PKR 186
On 31 December 2019, Star Limited’s financial year-end, the equivalent rates were: £1 = PKR 182
The average rate for the year ended 31 December 2019 was £1 = PKR 185
Star Limited paid this creditor on 3 February 2020 when the exchange rates were: £1 = PKR 188
Star Limited should recognize purchases on 19 December 2019 at:

On 19 December 2019 Star Limited bought goods from Morgan plc for 80,000 British Pounds. At
the date of the transactions, the exchange rates were: £1 = PKR 186
On 31 December 2019, Star Limited’s financial year end, the equivalent rates were: £1 = PKR 182
The average rate for the year ended 31 December 2019 was £1 = PKR 185
Star Limited paid this creditor on 3 February 2020 when the exchange rates were: £1 = PKR 188
The carrying amount of trade payables in respect of above on 31 December 2019 shall be:

On 19 December 2019 Star Limited bought goods from Morgan plc for 80,000 British Pounds. At
the date of the transactions, the exchange rates were: £1 = PKR 186
On 31 December 2019, Star Limited’s financial year-end, the equivalent rates were: £1 = PKR 182
The average rate for the year ended 31 December 2019 was £1 = PKR 185
Star Limited paid this creditor on 3 February 2020 when the exchange rates were: £1 = PKR 188
The amount of exchange gain or loss for the year ended 31 December 2019 shall be:

On 19 December 2019 Star Limited bought goods from Morgan plc for 80,000 British Pounds. At
the date of the transactions, the exchange rates were: £1 = PKR 186
On 31 December 2019, Star Limited’s financial year end, the equivalent rates were: £1 = PKR 182
The average rate for the year ended 31 December 2019 was £1 = PKR 185
Star Limited paid this creditor on 3 February 2020 when the exchange rates were: £1 = PKR 188
The amount of exchange gain or loss to be recognised on 03 February 2020 shall be:

Which of the following statements are correct?
(i) An entity can have only one presentation currency
(ii) Functional currency is the currency of the primary economic environment in which an entity
operates
(iii) Any currency other than the functional currency of the entity is foreign currency.

Which of the following is NOT a primary indicator for determining the functional currency of an entity?

Which of the following is NOT a monetary item?

On 19 December 2019 Star Limited sold goods to Clinton Inc for US$ 20,000. At the date of the
transactions, the exchange rates were $1 = PKR 148
On 31 December 2019, Star Limited’s financial year-end, the equivalent rates were $1 = PKR 149
Star Limited received the amount due on 3 February 2020 when the exchange rates were $1 = PKR
146
Star Limited should record revenue on 19 December 2019 at:

On 19 December 2019 Star Limited sold goods to Clinton Inc for US$ 20,000. At the date of the
transactions, the exchange rates were $1 = PKR 148
On 31 December 2019, Star Limited’s financial year-end, the equivalent rates were $1 = PKR 149
Star Limited received the amount due on 3 February 2020 when the exchange rates were $1 = PKR
146
The receivables on 31 December 2019 shall be presented at:

On 19 December 2019 Star Limited sold goods to Clinton Inc for US$ 20,000. At the date of the
transactions, the exchange rates were $1 = PKR 148
On 31 December 2019, Star Limited’s financial year-end, the equivalent rates were $1 = PKR 149
Star Limited received the amount due on 3 February 2020 when the exchange rates were $1 = PKR
146
The amount of exchange gain or loss for the year ended 31 December 2019 in respect of above
transaction is:

On 19 December 2019 Star Limited sold goods to Clinton Inc for US$ 20,000. At the date of the
transactions, the exchange rates were $1 = PKR 148
On 31 December 2019, Star Limited’s financial year-end, the equivalent rates were $1 = PKR 149
Star Limited received the amount due on 3 February 2020 when the exchange rates were $1 = PKR 146

The amount of exchange gain or loss on receipt of cash on 03 February 2020 is:

Moon Limited functional currency is Pak Rupees. It bought a property in New York for $5 million on
2 July 2019. The 25% amount was paid immediately and the remaining is to be paid on 31 October
2019.
Moon Limited financial year ends on 30 September each year.
Relevant exchange rates are:
02 July 2019 $1 = PKR 164
30 September 2019 $1 = PKR 158
31 October 2019 $1 = PKR 156
The fair value of the property is $5.1 million on 30 September 2019.
The property is being used for administrative purposes and has a useful life of 50 years. Moon
Limited uses revaluation model.
At which amount the above property shall be presented in the statement of financial position on 30
September 2019?

Moon Limited functional currency is Pak Rupees. It bought a property in New York for $5 million on
2 July 2019. The 25% amount was paid immediately and the remaining is to be paid on 31 October
2019.
Moon Limited financial year ends on 30 September each year.
Relevant exchange rates are:
02 July 2019 $1 = PKR 164
30 September 2019 $1 = PKR 168
31 October 2019 $1 = PKR 166
The fair value of the property is $5.1 million on 30 September 2019.
The property is being used for administrative purposes and has a useful life of 50 years. Moon
Limited uses revaluation model.
What is the total charge/credit (net) in profit or loss in respect of the above for the year ended 30
September 2019?

Earth Limited has overseas freehold land which it bought for $2 million on 1 March 2019. It uses
a revaluation model under IAS 16 for this property. The fair value of land is $2.5 million on 31
December 2019 (year-end).
Relevant exchange rates are:
01 March 2019 $1 = PKR 144
31 December 2019 $1 = PKR 165
Which of the following is correct for its financial statements for the year ended 31 December 2019?

Which TWO of the following are secondary indicators for determining the functional currency of an entity?

Moon Limited functional currency is Pak Rupees. It bought a property in New York for $5 million on
2 July 2019. The 25% amount was paid immediately and the remaining is to be paid on 31 October
2019.
Moon Limited financial year ends on 30 September each year.
Relevant exchange rates are:
02 July 2019 $1 = PKR 164
30 September 2019 $1 = PKR 158
31 October 2019 $1 = PKR 156
The fair value of the property is $5.1 million on 30 September 2019.
The property is being used for administrative purposes and has a useful life of 50 years. Moon
Limited uses cost model.
At which amount the above property shall be presented in the statement of financial position on 30
September 2019?

Moon Limited functional currency is Pak Rupees. It bought a property in New York for $5 million on
2 July 2019. The 25% amount was paid immediately and the remaining is to be paid on 31 October
2019.
Moon Limited financial year ends on 30 September each year.
Relevant exchange rates are:
02 July 2019 $1 = PKR 164
30 September 2019 $1 = PKR 158
31 October 2019 $1 = PKR 156
The fair value of a property is $5.1 million on 30 September 2019.
The property is being used for administrative purposes and has a useful life of 50 years. Moon
Limited uses cost model.
At which amount the payables for property shall be presented in the statement of financial position on
30 September 2019?

Moon Limited functional currency is Pak Rupees. It bought a property in New York for $5 million on
2 July 2019. The 25% amount was paid immediately and the remaining is to be paid on 31 October
2019.
Moon Limited financial year ends on 30 September each year.
Relevant exchange rates are:
02 July 2019 $1 = PKR 164
30 September 2019 $1 = PKR 158
31 October 2019 $1 = PKR 156
The fair value of a property is $5.1 million on 30 September 2019.
The property is being used for administrative purposes and has a useful life of 50 years. Moon
Limited uses cost model.
What is the total charge/credit (net) in a statement of profit or loss in respect of the above for the year
ended 30 September 2019?

Moon Limited functional currency is Pak Rupees. It bought a property in New York for $5 million on
2 July 2019. The 25% amount was paid immediately and the remaining is to be paid on 31 October
2019.
Moon Limited financial year ends on 30 September each year.
Relevant exchange rates are:
02 July 2019 $1 = PKR 164
30 September 2019 $1 = PKR 158
31 October 2019 $1 = PKR 156

The fair value of property is $5.1 million on 30 September 2019.
The property is vacant is being held for capital appreciation and has a useful life of 50 years. Moon
Limited uses fair value, where permitted under relevant IFRSs.
At which amount the above property shall be presented in the statement of financial position on 30
September 2019?

Moon Limited functional currency is Pak Rupees. It bought a property in New York for $5 million on
2 July 2019. The 25% amount was paid immediately and the remaining is to be paid on 31 October
2019.
Moon Limited financial year ends on 30 September each year.
Relevant exchange rates are:
02 July 2019 $1 = PKR 164
30 September 2019 $1 = PKR 158
31 October 2019 $1 = PKR 156
The fair value of property is $5.1 million on 30 September 2019.
The property is vacant is being held for capital appreciation and has a useful life of 50 years. Moon
Limited uses fair value, where permitted under relevant IFRSs.
What is the total charge/credit (net) in the statement of profit or loss in respect of the above for the year
ended 30 September 2019?

Which of the following is a monetary item?

In relation to IAS 21, which of the following statements is correct?

Which of the following is correct in accordance with IAS 21?