Revaluation - F7

[Missykool]

Hi

Can someone please advise me on what the treatment of revaluation (dep) is in the begining of the year and at the end of the year??

Also I've found in some questions that a small amount from revaluation is transferred to RE. What is this all about??

Many Thanks


:wink:

[AnitaP]

Can you please elaborate on both of your questions, maybe with an example? Because I think
depreciation in case of revaluation is taken into account only when revaluation of an asset takes place, so the question of beginning of the year and end of the year does not arise.
Anita P.

[Suze]

dep is charged based on the company's policy. Some companies charge dep at beginning of yr while some charge at end of yr. All in all The dep that comes out of RE is the extra dep you charge on the asset ...... i.e if the revaluation surplus is 15,000 then only the dep from that is taken off of the RE

I hope this is correct

[santoshkumar Ge]

Hi,

The difference between the old depreciation ( before revaluation of asset) and new dep( after revaluation of asset ) would be transfered to RE every year.