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This accounting standard clearly explains all the pros and cons related to fixed assets.
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News alert from the iasb issued on 16 Sept 2014 announcing Associate in Nursing exposure draft with proposed amendments to ifrs 10, ifrs 12, ias 27, ias 28 and ias 36.
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Ias 16 was reissued in december 2003 and applies to annual periods.
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Issued: in 1982; re-issued in 1993 and 2003, followed by amendments.
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Ias 40 became effective for 2001 calendar years.
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Ias 16 outlines the account statement treatment for almost types of attribute, plant and equipment.
Fair value is the price at which the property could be exchanged betwixt knowledgeable, willing parties in an arm's length transaction.
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The prevailing liquidity ratio buttocks be defined equally the proportion of a company's new assets to its current liabilities.
What are the main issues in IAS 16?
The main issues dealt in IAS 16 are recognition of property, plant and equipment, measurement at and after recognition, impairment of property, plant and equipment (although IAS 36 deals with impairment in more detail) and derecognition. According to Delloite the following development changes were made to IAS 16.
How are property, plant and equipment measured in IAS?
If an entity chooses to measure the property, plant and equipment under Cost model at reporting date, then such assets will be measured at Cost less accumulated depreciation less accumulated impairment loss. (a) It is the systematic allocation of the depreciable amount of an asset over its related useful life.
Which is an example of an IAS lease?
Examples of these costs are: costs of site preparation, professional fees, initial delivery and handling, installation and assembly, etc., 3. the initial estimate of the costs of dismantling and removing the item and restoring the site on which it is located.
Which is an example of an IAS Standard?
This Standard deals with the accounting treatment of Property, Plant & Equipment including the guidance for the main issues related to the recognition & measurement, determination of carrying value, depreciation charges, any impairment loss and de-recognition aspects for the property, plant & equipment in the financial statements of an entity.
Last Update: Oct 2021
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