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IFRS 16

This topic has 1 reply, 2 voices, and was last updated 5 years ago by P2-D2.

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August 28, 2019 at 10:00 am #543481
alikhakar
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When right-of-use-asset is eligible to be treated under IAS16 (revaluation model) or IAS40 (fair value), then what useful life should we use for calculating depreciation? Lease term or asset’s actual useful life ?
August 28, 2019 at 6:32 pm #543628
P2-D2
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- Topics: 4
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Under IAS 40 it would not be depreciated if using the fair value model. Depreciation is based on the shorter of the lease term and the useful life for a right of use asset.
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