Intragroup sales of non-current assets results in the need to eliminate the effect of any profit or loss on sale in the period of the sale and,in the rest of the periods of the asset's life,any tax effects of the profit or loss,the depreciation and accumulated depreciation will have to be adjusted for the life of the asset,along with the tax effects of the adjustment to depreciation.

Question

Quizplus · Accepted Answer

Intragroup sales of non-current assets require adjustments to eliminate the effect of profit or loss on sale and adjust for tax effects, depreciation, and accumulated depreciation for the rest of the asset's life, along with the tax effects of the depreciation adjustment.

Intragroup Sales of Non-Current Assets Results in the Need to Eliminate