If land was acquired many years ago,and inflation has occurred over time,the value of the land on the financial statements should be increased to reflect some of the change in the land's valuation.However,the land will still be valued at a relatively conservative amount.The company does not follow IFRS.

Question

Quizplus · Accepted Answer

Under most accounting frameworks, including US GAAP, land is recorded at its historical cost and is not adjusted for changes in market value or inflation.

If Land Was Acquired Many Years Ago,and Inflation Has Occurred