Non-current Assets - Depreciation 3 / 41

Quite straightforward but a reminder..

2 main methods

  • Straight Line

    (Cost - RV) / UEL

  • Reducing Balance

    NBV x depreciation rate

The RV and UEL should be kept up to date each year

Any changes made prospectively (i.e. no changing of comparatives)

A change in depreciation policy is actually only a change in accounting estimate not policy

So again changes only made prospectively

On a revaluation - check that all accumulated depreciation on that asset has been cleared to zero

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