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Ask the Tutor ACCA FR

Restructuring provision

IIzabel6y ago
Hi sir I'm a bit confused with this. Why are we not including cost of relocation , retraining costs etc Ias says because we include only costs that are directly related to restructuring Why are they not related ? I mean we wont Incur it if we aren't restructuring
P2-D2P2-D2Tutor6y ago#1
Hi, They are related but they are part of the ongoing activities of the entity and they cannot be provided for as there is no obligation (legal or constructive) to relocate or retrain. Thanks
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