PPE Practical Flashcards
0
Q
When there are major components are they included in the main cost already?
A
Yes
1
Q
During calculations of deferred tax, what is seperated?
A
Each component is separated
E.g. Spare part, inspection. Everything that depreciates at a separate rate.
2
Q
Does the residual punt effect the tax base when acclimating wear and tear?
A
No
3
Q
What happens if the useful life extends?
A
Work out out the total useful life has extended to, then work out depreciation from there
4
Q
Does capitalizing replacements of asset affect the tax base?
A
No
The tax base WONT be increased
5
Q
What are the basic rows for movements in the PPE note?
A
- Additions
- Revaluations
- Capitalization of additional cost
- Depreciation
- Derecognition
