Fair value

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April 14, 2014 at 9:32 am #165249
tarek
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Hi mr mike
In my answer in revision kit
Increase and loss of fair value of investments in equity
He somtimes record it in profit or loss statement and add it with investment income . And somtimes record it in OCI and record it in SOFP in reserve surplus .
Please why this differnt

Thanks
April 14, 2014 at 9:54 pm #165289
MikeLittle
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It all depends on how the examiner has described the investment within the question.

If he has indicated that the asset is held at “fair value through profit and loss” then the movement in that asset goes through profit and loss account

If, alternatively, he has described it as held at “fair value through comprehensive income” then, guess what! the movement should be reflected in statement of comprehensive income

Does that do it for you? If not, post again
April 15, 2014 at 9:33 pm #165391
tarek
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This mr mike for investment only or also non current assets revaluation
April 16, 2014 at 6:25 am #165408
MikeLittle
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Non-current asset revaluations go through comprehensive income (unless previously impaired, in which case they go through profit and loss to “undo” the impairment)
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