31 October 2015
I have one query about changing of depreciation method from WDV to SLM. Company had been followed WDV upto 31.3.14 and now they want to change method from WDV to SLM. Can I take the carrying value shown in books as per WDV on 1.4.14 as carrying value of SLM without giving retrospective effect? Can it be possible? or it is compulsory to give retrospective effect!! and then after depreciate the asset on remaining useful life as per SLM.
31 October 2015
Yes you can take carrying value shown in the books as on 1/4/13 as carrying value for SLM and depreciate the asset on remaining useful life as per SLM. No need for retrospective effect.
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