PPE – revaluation downwards – ACCA Financial Reporting (FR)

Comments

1. praveenmasih says

   July 3, 2022 at 6:29 pm

   Hi Chris,
   Why are we debiting £3850 in OCI but not in Revaluation reserve??

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2. lightbeetle200 says

   October 21, 2021 at 11:19 am

   Please I don’t understand where the excess depreciation is from at 10:22

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3. JayGab says

   August 19, 2021 at 7:59 am

   Hello Chris,
   Please why do we have to use up $3,850 in the reserve?

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   • francihco says

     October 19, 2021 at 1:36 pm

     I think that´s because the revaluation reserve was 4,400; the excess depreciation was 550; thus the balance was 4,400-550=3,850 that needs to be used up / removed because of the revaluation decrease / impairment. Thus, we debit by 3,850 the revaluation reserve but the value of the impairment was 4250. Then 4250-3850=400 impairment that goes to PL.

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4. KamagobaS says

   July 5, 2021 at 3:09 pm

   Hi Chris,
   Would you kindly clarify why you’re saying that all of $3,850 in the revaluation reserve is going to be used?
   And where are the entries for accumulated depreciation & depreciation?

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