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PROBLEM 1: Beth Ong Company has stopped using certain plants because of a downturn in orders. They are still maintaining the plant as the entity hopes that orders will pick up in future. Additionally, it intends to shut down one-half of its manufacturing base. The units to be closed constitute a major segment of its business and will close in the current financial year. Is the plant assets qualified as "non-current assets held-for-sale"?
a. The equipment will be treated as non-current assets held-for-sale because the manufacturing unit will be dicontinued.b. The equipment will not be treated as non-current assets held-for-sale as it will subsequently be brought back into usage.c. Both a & b is trued. None of the above
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