banner_ad

Accounting Standard 5

333 views 11 replies
Is change in method of depreciation , change in Accounting estimate or change in accounting policy ?
Replies (11)
change in accounting estimation
Change in Accounting Policy.....
It's Change in Accounting Policy
it is revised recently. refer ICAI material
Change in Rate Of Depreciation is Accounting Estimate but Change in Method of Depreciation is
method of depreciation used should reflect the pattern in which the future economic benefits of the asset are expected to be consumed by the entity. i.e. in the ratio in which benefits are consumed.
the depreciation method selected to an asset should be reviewed at least at each financial year end.
if there has been a significant change in the expected pattern of consumption of the future economic benefits emboided in the asset, the method should be changed to reflect the changed pattern. such a change in method of depreciation should be accounted for as a change in an accounting estimate in accordance with AS 5.
change in Rate of Depreciation is Accounting Estimate but Change in Method of Depreciation is A Change in Accounting Estimate
method of depreciation is based on the pattern of economic benefits are consumed.
In new ICAI material it is clearly given that change in method of department is change in accounting policy...
change in accounting policy

Change in accounting policy.


CCI Pro

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
Featured 02 May 2026
Senior Executive

hitesh chandwani & co

Pune

B.Com

View Details
Company
Featured 29 April 2026
Manager- Finance and Compliance

Naveen Fintech Pvt Ltd

Kolkata

CA Inter

View Details
Company
Featured 14 April 2026
GST CONSULTANT

Abhishek G Agrawal & Co.

Korba

CA Final

View Details
Company
Featured 13 April 2026
GST CONSULTANCY

Abhishek G Agrawal & Co.

Korba

CA Final

View Details
Company
Featured 28 March 2026
Accountant

Ashok Amol & Associates

New Delhi

B.Com

View Details
Company
Featured 28 March 2026
CA Final

Ashok Amol & Associates

New Delhi

CA Final

View Details
Company
Featured ARTICLESHIP 19 March 2026
Article Assistant

Gupta Sachdeva & Co. Chartered Accountants

New Delhi

CA Final

View Details
Company
Featured 14 March 2026
Associate CA

N N V Satish&co

Hyderabad

CA

View Details