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L4M7 Exam Dumps : Whole Life Asset Management

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Whole Life Asset Management Questions and Answers

Question 1

A manufacturer has discovered that some of the stock in its storeroom is obsolete and now wishes to take the appropriate action. Should the manufacturer write the stock off?

Options:

A.

No, the best approach would be to leave the stock where it is

B.

Yes, as it has no value it must be written off

C.

Yes, this will increase the sales for the period

D.

No, it should be included with the closing stock

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Question 2

Nuclear Energy Group Limited (NEG) has a number of investment options currently under appraisal. As these are all long-term investments (more than 30 years), NEG is adopting a total cost of ownership approach. It has gathered data on all associated costs over the life of the investment. Which of the following will be regarded as end-of-life costs?

Options:

A.

Insurance costs

B.

Servicing costs

C.

Installation costs

D.

Decommissioning costs

Question 3

A brewery sells its beer in aluminum cans. It recycles the cans by using contractors to collect and mold the used cans. This is an example of...?

Options:

A.

Closed-loop recycling

B.

Carbon recycling

C.

Open-loop recycling

D.

Reuse