Professional Documents
Culture Documents
&
ACCOUNTING STANDARDS
2019 Edition
Lecture Aid
By: Zeus Vernon B. Millan
1
PAS 16 Property, Plant and Equipment
Learning Competencies
Elements of Cost
1. Purchase price, including non-refundable purchase taxes,
after deducting trade discounts and rebates.
2. Costs directly attributable to bringing the asset to the
location and condition necessary for it to be capable of
operating in the manner intended by the management.
3. Present value of decommissioning and restoration costs to
the extent that they are recognized as obligation
Conceptual Framework & Acctg.
6
Standards (by: Zeus Vernon B. Millan)
Examples of directly attributable costs
Fair value* xx
Less: Carrying amount (xx)
Revaluation surplus – gross of tax xx