CIMA F1 Syllabus B. Financial Statements - Chapter 6: Measurement bases - Notes ^{8 / 10}

Asset

Historical cost, including transaction costs less any accumulated depreciation.

Liability

Historical consideration as yet owing in respect of goods and services received (net of transaction costs)

Asset

Present value of future cash flows from the continuing use of the asset and from its disposal, net of transaction costs on disposal.

Liability

Present value of future cash flows that will arise in fulfilling the liability, including future transaction costs.

Asset

Consideration that would be given to acquire an equivalent asset plus transaction costs. It reflects the current age and condition of the asset.

Liability

Consideration that would be received to incur an equivalent liability minus transaction costs