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Damaged items should be written down or provided against to ensue they are included at the lower of cost and NRV. What does “provided against” mean?
For revaluation of PPE should I treat the revaluation not done by an expert as a potential deficiency/audit risk?
Provided against just means make a deduction from value if required. It is a bit like bad and doubtful debts: you can write them off or make an allowance for them so that their value on the SOFP is reduced. Making an allowance is the modern way of saying providing against.
If a revaluation is not done by an expert then that is definitely an audit risk. The person doing it might have no clue about reasonable values.
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