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I would like to ask if the company change the purpose of use of an item or change its intention for using the item, will it consider a change of accounting policy and applied retrospectively?
for example, the item is treated as COS or inventory at that time but recognised as an asset after 2 years? Will the company need to restate the depreciation charge for the last 2 years?
Not change in accounting policy. This is a change in use.
Transfer from inventory to PPE at CA.
Then apply IAS 16 / IAS 36 going forward.