CIMA Exam CIMAPRA19-F03-1 Topic 4 Question 54 Discussion

Actual exam question for CIMA's CIMAPRA19-F03-1 exam

Question #: 54
Topic #: 4

Aconsultancycompanyis dependent for profits and growth on the high value individuals it employs.

The company hasrelatively fewtangible assets.

Select the most appropriate reason for the net asset valuation method being considered unsuitable for such a company.

AIt does not account for the intangible assets.

BIt accounts for the intangible assets at historical value.

CIt accounts for intangible assets at net realisable value.

DIt does not account for tangible assets.

Show Suggested Answer

Suggested Answer: A

by Annelle at Jul 25, 2022, 10:43 PM

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