Lec 1 PPE Revaluation and impariment

School: The University of Sydney - Course: ACCT 2110 - Subject: Accounting

CRICOS code 00025BLecture 1 Property, Plant and Equipment: Revaluations and Impairment 1ACCT2110 Intermediate Financial Accounting
 
CRICOS code 00025BReading HPHAH, Chapter 8 Focus on section 8.3: Revaluation and impairment Standards AASB 116 Property, Plant & Equipment AASB 136 Impairment of Assets AASB 13 Fair Value Measurement Tutorial questions • Question: 12, 14, 15 • Problems: 8, 9, 10 2
 
CRICOS code 00025BLearning Objectives 1. Identify the issues involved in the initial recognition and subsequent measurementof property, plant and equipment and apply the relevant requirements of AASB 116 'Property, Plant and Equipment'. 2. Evaluate the role of revaluationin accounting for property, plant and equipment and apply the relevant requirements in AASB 116 'Property, Plant and Equipment' 3. Explain asset impairment and implement the requirements of AASB 136 'Impairment of Assets' 3
 
CRICOS code 00025BLecture Outline Measurement of PPE Cost model Revaluation model Revaluation increments and decrements -Example 1 -Example 2 Impairment of assets -Example 3 -Example 4 - Reversal of impairment loss 4
 
CRICOS code 00025BMeasurement Measurement at recognition (Initial recognition) • An item of property, plant and equipment that qualifies for recognition as an asset shall be measured at its cost(AASB116, para15). • Revision from ACCT2101 or referring to section 8.2 of textbook. Measurement after recognition (Subsequent measurement) • A classof property, plant and equipment must be measured using either the cost model or revaluation model(AASB 116, para. 29). • Nature of a classof assets (para. 37): -Grouping of assets of a similar nature and use in an entity's operations -Examples of PPE classes: land, land and buildings, machinery, ships, aircraft, motor vehicles, furniture and fixtures

Expert's Answer

Your future, our responsibilty submit your task on time.

Order Now

Need Urgent Academic Assistance?

Get Professional Help at Low Prices!

*
*
*


*

TOP
Order Notification

[variable_1] from [variable_2] has just ordered [variable_3] Assignment [amount] minutes ago.