Urgent query?????????

AS 789 views 5 replies

can revalution reserve be reverse ?? how???

Replies (5)

Check this link . hope it may be useful to u

https://moneyterms.co.uk/revaluation-reserve/

yes... Revalution reserve can be reverse wen asset will sold or discarded or revalued down.... Wen sold or discarded same asset which was revalued earlier then first loss will set off from reserve and thereafter charge to p&l account if remain. And wen revalued down same asset again which was revalued earlier then first revalution reserve write off and thereafter charge to p&l remaining account.

First of all Thanks for posting a Nice Topic......

Now I wana to say that Revaluation reserve is a reserve.....And you can better understand it from this :

ASSET REVALUATION RESERVE is an accounting concept and represents a reassessment of the value of a capital asset as at a particular date. The reserve is considered a category of the equity of the entity. An asset is originally recorded in the accounts at its cost and depreciated periodically over its estimated useful life as a measure of the amount of the assets value consumed in that period. In practice, the actual useful life of an asset can be miscalculated or an event can cause a change to the useful life. Consequently, assets occasionally need to be revalued in order to reflect a more close approximation to their "worth" in the accounts. When the asset is revalued, the offsetting entry (in a double entry accounting system) would be either made to the profit or loss accounts or to the equity of the entity

thanks for all 

Please any one provide me a CRADIT RATING FOR FROJECT FINANCING FROM BANK

Regards

Badre Alam


CCI Pro

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