Which of the following are requirements of IAS 16/AASB 116?
I. An entire class of non-current assets must be revalued together.
II. If the revaluation model is adopted non-current assets should be revalued to either fair value or the value in use.
III. Before a depreciable asset is revalued accumulated depreciation should be written back to the asset account.

Question

Quizplus · Accepted Answer

I. According to IAS 16/AASB 116, when an entity chooses the revaluation model for a class of property, plant, and equipment, it must revalue all assets in that class to avoid selective revaluation. III. Before revaluation, accumulated depreciation is either eliminated against the gross carrying amount of the asset or restated proportionately with the change in the gross carrying amount of the asset, ensuring the carrying amount after revaluation equals its revalued amount. II is incorrect because under IAS 16, revaluations should be to fair value, not value in use.

Which of the Following Are Requirements of IAS 16/AASB 116