9.

[81] Under a BOT arrangement that is within the scope of IFRIC 12, the operator is a private entity which acts as a service provider and receives a right and incurs an obligation to provide public services. [82] ABC Co., a private entity, wins a government bid to construct, operate and maintain for 25 years an expressway. At the end of the contract, ABC Co. shall handover the eXpress way to the government. This is an example of contracts is within the scope of IFRIC 12 Service Concession Arrangements. [A] both are true [13] both are false [(3] 81 is true [D] 52 is true [81] Where there is double insurance, the insurers are to divide the loss ratably or in the ration each policy bears to the total insurance carried. [82] When property is insured with different insurers against the same risk and total insurance carried exceeds the value of the property, there is over- insurance by double insurance. [A] both are true [B] both are false [C] 81 is true [D] 82 is true ABC obtained 2 re insurances for his commercial building. During the year, the commercial building was burned. What legal principle prohibits ABC from relaxing and just watch the commercial building burn? [A] proximate cause [B] loss minimization [C] Contribution [D] Indemnity How should the operator in a BOT contract subsequently measure the consideration from the contract that is in the form of a nancial asset? [A] at amortized cost [B] at fair value through other comprehensive income [C] at fair value through profit or loss [D] any of these According to PFRS 17, an insurance contract is derecognized in the following instances, except: [A] when it is extinguished. [B] when it has expired or cancelled. [C] when its terms have been modied and the modification is substantive. [D] none of the above [E] A, B and C ABC Co., a consignee, paid the freight cost for goods shipped from DEF Co., consignor. These fright costs are to be deducted from ABC's payment to DEF when the consignment goods are sold. Until ABC sells the goods, the freight costs should be included in ABC's [A] Cost of goods sold. [B] Freight-out costs. [0] Selling expenses. [D] Accounts receivable. Which of the following is not a criterion required to recognize that a contract with a customer is created? [A] The contracting parties have approved the contract either in writing, orally or implied in customary business practice. [B] The parties are committed to the contract. [C] The contract allows the franchisor to expect future cash inflows and to shoulder risk in the execution of the contract. [D] The customer has the ability and intention to pay in cash the consideration on the contract date.The prot or loss on consignment is calculated after a careful analysis of expenses to be allocated and not to be allocated between the sold and unsold units. Examples of expenses that are to be allocated, except: [A] Packing expenses related to consigned goods [B] Freight paid by the consignee upon receipt of the shipment [C] Shipping cost, freight and handling paid by the consignor upon shipment [D] Expenses relating to returned units