Fixed Assets

Dear Mr.G Shankar,

As far as i could understand from your query, you should treat the same in following manner:

If a particular asset part has got damaged you have received the compensation for that particular part of the asset.You decapitalise your asset part damaged and dispose it off.First book the loss on disposal and then get that loss set off aginst the compensation received.Compensation amount above the loss is you other income/miscellaneous income.

IAS-16 PROPERTY ,PLANT AND EQUIPMENT IS also talking about the part capitalisation of assets.corresponding IND As ca also be reffered in support of the reply.

Regards,

CA,Shankar Kumar Jha.

FCA,DISA,IFRS CERTIFIED (ICAI)

09891495801

Thanks Shankar Kumar...