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tabasumze.
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tabasumze
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In example 3 (chapter 5) from the notes, the depreciation amount before the change in useful life was $2.5million and after the change in useful life it is $3.5million.
Will there be no adjustment for the increase in depreciation charge?
P2-D2
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Hi,
Changes in useful life are adjusted prospectively, i.e. for the current period and future periods. The new depreciation charge is therefore included in the 2015 financial statements.
Thanks
tabasumze
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Got it, thank you.
tabasumze
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