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statement of changes in equity

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FA – FIA FFA › statement of changes in equity

  • This topic has 1 reply, 2 voices, and was last updated 6 years ago by John Moffat.
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  • March 9, 2019 at 8:36 pm #508847
    kingkongsajang
    Member
    • Topics: 95
    • Replies: 75
    • ☆☆

    1. If there has been an annual transfer of excess depreciation charged from revaluation surplus account to the retained earnings (within equity in SOFP), is there a change in the statement of changes in equity?

    is there any effect to SOCIE, in debiting the revaluation surplus and crediting the retained earnings?

    2. If there has been a disposable of revalued non-current asset, is there a change in the statement of changes in equity?

    Thank you

    March 10, 2019 at 10:36 am #508895
    John Moffat
    Keymaster
    • Topics: 57
    • Replies: 54748
    • ☆☆☆☆☆

    1. Yes – it appears in the SOCIE because the statement is explaining why the balances on the reserves have change.

    2. Yes – because the revaluation reserve is no longer relevant and is transferred to the retained earnings.

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