Disposal No economic

benefit Purchase Price Commencemen

P t of owner Land
Building
held for
Directly occupation lease out
COST
attributable
Reduction Depreciable
Inventories to
in value amount
Deferred costs investment Constructed Operating
lease Property Lease

Systematic
Useful Life Commencement
Basis
of development
De
recognise Transfers
Initial
Depreci
ation measure
With commercial Examples
ment
PAS substance
PAS
16
Revaluat
Sub 40
sequent Exchange Recogniti
ion
Measure of assets on
Re Lack commercial
cognise substance Treatme
nt

Revaluation Impairment
cost
Surplus Loss Cost
model
Cost model less Depreciation

Impairment FV less
Carrying
Future
Meets the
Gain amount Less Impairments economic
asset criteria
benefits

Fair Value
No depreciation
meets the
less subsequent Reliable definition of
Future economic RevaluationModel AD Fair value Measurement investment
benefits model property
Less Accumulated Gain/Loss to SOCI
Impairments

Cost reliably
Revalue each year
measured
 Carrying amount
exceeds market
External capitalization

Available for Sale in Legal Cost of Direct

lower of
carrying Fv less cost sale in highly Legal Costs removing the incremental
to sell present Significant decline
amount probable asset cost
condition in the assets

Not Fair value costs Value in Use

Increase in Market
Measure
Depreciated Classifications and disposal
ment Sales
(FLVCD)

Non
Measuring
Current recoverable
asset held Obsolescence or
for sale amount physical damage
Intangibl
e PPE INDICATIONS
Asset PAS 36
PFRS IMPAIRME
Internal Change in

5
expected use of
Investme NT OF
Investme ASSETS asset
nt Require
nt in Joint measure testing for
Venture in cost impairment
control Intangible asset
Dis APPLIES with definite useful
continued TO life
Operation

Intangible asset
not yet available
Investment Investment Intangible for use
Presentation Part Of Plant To PPE Property in Associate asset
Component
Dispose It under the Joint
of an entity
cost Ventures

SCI Subsidiary Acquired Goodwill acquire in

To Resale a business
CGU combination
OCI Represents major
lines of business
 Grants receive as
compensation

\ Grants related to non-

Grants related to
depreciable assets depreciable assets

PAS
20 Income Capital
Approach Approach

Repayments Approaches
The attached
condition will be Government
compelled with Recognition Government
Grants Assistance
The grants will be
receive

Measurement Types Form of loan

Monetary Grants
Forgivable
related to
Grant assets Loan

Non- Grants Loan at below

related to market rate
Monetary interest
income
Grant
 PAS 23
BORROWING COSTS

Core Capitalization

Principle

General Borrowing Specific borrowing

Expense
Capitalized as
when
cost of asset
incurred
Capitalization rate = Capitalize BC=
Capitalize BC=Average Total expense÷
Expenditure ×
Actual Borrowing
𝑇𝑜𝑡𝑎𝑙 𝑔𝑒𝑛𝑒𝑟𝑎𝑙
Capitalization Rate cost - Investment
𝑏𝑜𝑟𝑟𝑜𝑤𝑖𝑛𝑔𝑠 Income