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Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA SBR Exams › Excess depreciation transfer to ret earnings
Q Ambush (12/05)
When property is revalued is it necessary to transfer excess dep to retained earnings if its not asked for in the qs?
No, it’s not necessary. However, it is seen as good practice to transfer and amount equal to the “excess” depreciation from the revaluation reserve to the retained earnings each year. But that’s not mandatory
Thanks
You’re welcome