AS 10: capitalization based on materiality

From the information u ve given in the query, the entire expense of laying down a new electric line should be capitalised as per my view because the entire installation has been destroyed and to carry on the work further, such installation would be necessary.moreover materiality concept seems to be a bit out of question because definitely such a big loss will be material,it affects the working of the business.

our names r almost  similar so, how can we varied our in views...me too agree with Miss Shini.. if the laying down cost of  electricals fittings are more than 5000/-.(Which is also given in ur post that the cost is material) the whole expenditure should be capitalised and u can claim deprecieation for that

Originally posted by : Shini Sharma
	From the information u ve given in the query, the entire expense of laying down a new electric line should be capitalised as per my view because the entire installation has been destroyed and to carry on the work further, such installation would be necessary.moreover materiality concept seems to be a bit out of question because definitely such a big loss will be material,it affects the working of the business.

 as per my understanding , by materiality he means ...A very bulky sum is spent for installation of  new electrical fittings