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Although, I read though the article in this web, I still got confusion to how we account it into the financial statement or give me some more technical article to clarify the issue
Thanks Vipin,
I read the article, but would you pls. identity the difference between Discontinued Operation and Assets Held for Sales,
IFRS 5 requires assets ‘held for sale’ to be presented separately in the SoFP. It sets out the criteria for recognising a discontinued operation.
From above, you can tell, they’re not comparable. ‘Held for sale’ is to be presented under the discontiued operation.
HFS: there is the intention to sell(and not holding the asset to use it as NCA), therefore this is classified as current asset, not NCA.
discontinued operation: you recognise in the P/L the profit(/loss) made from selling this operation.(actually, the post tax gain on remeasurment and disposal).
hope this helps
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