Question 6 - Question 6 Difference between IFRS and GAAP...

Info icon This preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
Question 6 Difference between IFRS and GAAP about Property, Plant and Equipment By our discussing we found out some difference about Property, Plant and Equipment underlying IFRS and GAAP. There are the comparisons of those: Comparison of accounting treatments Section 3061 and IAS 16, IAS 36 and IAS 40 are converged, except that: (i) IAS 16 permits the revaluation of property, plant and equipment to fair value; (ii) IAS 16 requires the depreciable amount to be the asset cost less its residual value, rather than using the greater of the asset cost less its residual value or asset cost less its salvage value; (iii) IAS 36 requires discounting in determining the net recoverable amount of property, plant and equipment; (iv) IAS 40 allows investment property to be accounted for using a fair value or a cost-based model; (v) IFRSs contain an exemption from applying the GAAP hierarchy to develop accounting policies for exploration and evaluation activities; and (vi) IFRS 6 provides limited guidance on the financial reporting for exploration for, and evaluation of, mineral resources.
Image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern