IAS 16 Property, Plant and Equipment
Cost of Fixed asset may occur via two ways : buying and self construction. 1.Buying Fixed Asset Cost of fixed asset = purchase price-trade discount-sale return and allowance+ freight + insurance + import taxation + Specific tax (if any) + VAT Input ( if we cannot claim VAT input)+port fee + clearance cost + handling cost + other relevant costs
Continue reading Non-current assets | Long Term Assets | Fixed Assets Learning Objectives 1. IAS 16 Property, plant and equipment 2. IAS 20 Accounting for Government Grants and Disclosure of Government Assistance 3. IAS 40 Investment Property 4. IAS 23 Borrowing costs ————————————————————————————————————- 1. IAS 16 Property, plant and equipment Definition: Property, plant and equipment are tangible assets held by an entity
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All Depreciation Methods for Fixed Asset | Non-Current Asset After you read this article, you will know all depreciation methods. There are many depreciation methods such as straight-line, declining-balance, double declining balance, units-of-production and sum-of-the-years’ digits. Each depreciation method that can be used is based on actual physical usage or nature of the fixed asset. Example 1 Assume that
Continue reading IAS 16 PROPERTY, PLANT AND EQUIPMENT LEARNING OBJECTIVES 1.Definition 2.Recognition 3.Initial Measurement 4.Subsequent Expenditure 5.Subsequent Measurement 6.Depreciation …………………………………………………………….. Definition: Property, plant and equipment are tangible assets held by an entity for more than one accounting period for use in the production or supply of goods or services, for rental to others, or for administrative purchases. Recognition: Cost of asset can
Continue reading I. IAS 16 PROPERTY, PLANT AND EQUIPMENT IAS 16 property, plant and equipment provide the rules relating to accounting for non-current assets, including depreciation. Definition depreciation is measure of the cost of the economic benefits of the tangible non-current asset that have been consumed during the period. This consumption may arise because of any of the following factors. Use-i.e. Plant
Continue reading IAS 16 PROPERTY, PLANT AND EQUIPMENT (F3): LEARNING OBJECTIVES 1.Definition 2.Recognition 3.Initial Measurement 4.Subsequent Expenditure 5.Subsequent Measurement 6.Depreciation ……………………………………. 1. IAS 16 Property, plant and equipment Definition: Property, plant and equipment are tangible assets held by an entity for more than one accounting period for use in the production or supply of goods or services, for rental to others, or
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