IAS 16

What are non-current assets register?

The non-current asset register is the subsidiary ledger detailing the individual items of plant and equipment. The register records the cost of each asset and of any additions or alterations and the accumulated depreciation charged against it. Balances in the register reconcile with the written down value of the plant and equipment account in the general ledger.

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Revision question on IAS 16

Once an entity has recognized an item of Property, Plant and Equipment as an asset in its books, the entity can choose between two models (or methods) to account for the asset in subsequent measurement periods, that is, the period(s) after the asset has been acquired and before its disposition. The two models are the cost model and the revaluation Read the rest

Illustated example of how to post Double entries to record revaluation of non current asset.

The carrying value of Zen’s property at the end of the year amounted to Tshs 108,000. On this date the property was revalued and was deemed to have a fair value of Tshs 95,000. The balance on the revaluation reserve relating to the original gain of the property was Tshs 10,000.
What is the double entry to record the
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Illustrated example of how to calculate annual depreciation charge.

A company purchased a property with an overall cost of Tshs 100m on 1 April 2009. The property elements are made up as follows:
Tshs 000
Estimated life
Land and
element Tshs 20,000)
50 years
and fittings
10 years
20 years
  • Calculate the annual depreciation
  • charge for the property for the year ended
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What is property, plant and equipment?

Property, plant and equipment also abbreviated as PPE are tangible item that:


  • are held for use in production or supply of goods or services, for rental to others, or for administrative purpose; and
  • are expected to be used during more than one accounting period.

Items such as spare parts, stand by equipment and servicing equipment

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