QuestionsCategory: SA-540SA 540 CNO.80.000
Sonam Balasaheb YewaleSonam Balasaheb Yewale asked 3 years ago

Q is regarding Examples of accounting Estimates that may have a High Estimation Uncertainty ……….as answer given in Regular Book it has short cut representing LSD i.e, Litigation, Specialized Entity Develop Model and Derivative Contracts but as Answer given in PARAM is include Judgement , Review of prior period Estimates, Techniques and Specialized Entity Develop Model which is combination of answer of Factors affecting uncertainty and examples of High Estimation Uncertainty ……..which answer would be correct to get Marks in Exam?

1 Answers
RaviRavi Staff answered 3 years ago

there 2 different concepts
examples of estimates estimation uncertainty
and factors affecting estimation uncertainty
both are covered in our notes on SA 540
in nov 16 icai asked about examples of estimation uncertainty and gave factor affecting estimation uncertainty, which is not correct, so go with answer given in our notes
 because question is asking examples and not factors
unfortunate when icai makes such mistake
our team picked answer from icai material
as per my experience, even student answer given right now he should get 3 out 5 as many points are correct