Ias-16 Property Plant and Equipment.

IAS-16 Property Plant and equipment[pic 1]

Muhammad Hamid Javed Assignment no. 05

Advance Financial Accounting Programmed: MS (A&F) Session: 2018-2019 Department of Commerce

Submitted to: Sir Tauseef

IAS-16[pic 2]

Property Plant and equipment

1- What is PPT?

2- Recognition Criteria When to record in B/S?[pic 3]

3- Initial Recognition

4- Subsequent expenditure

What’s treatments & whether it is capitalized or expenditure?[pic 4]

5- Subsequent Recognition

After initial period how treatment has to be done in future time period?

1. Tangible Asset:[pic 5]

•        Held for sale production

•        Held for sale of good & services

•        Rental purpose other than Property i.e. land & building

If we purchase or hire it on lease then it is fixed Asset        *Any Asset can be owned or lease as well & vice-versa if it is given to other for using then it is called

Investment PPT

• Administrative Purpose

2. It should be use for more than 1 accounting period

3- Bearer Plant (Treatment under IAS-16):        1- Apple Tree • Living plant                                                                                                                         3-sugarcane • Held for use in production of agriculture producer

• Expected to be bear produce in more than one accounting period

• There’s remote possibility that it’ll be sold as agricultural produce except for • scrap value

Unit of master:[pic 6]

It can be measure as individual item or aggregate it

IAS-16[pic 7]

Property Plant and equipment

Recognition Criteria

• Meet required defiant ion in market

Initial Recognition:→ Initial recognition

• Purchase cost+ import duty+ non-refundable purchase after deducting trade discount and rebate

• Any cost directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.