20 paragraphs found in INT 1030
With the adoption of accrual accounting by local, state, territory and Commonwealth governments, there has been increased interest in methods of depreciation of long-lived physical assets, including those assets described as ‘infrastructure’ assets or an …
Many of the activities of local, state, territory and Commonwealth government entities are capital intensive. For example, there is significant investment in the physical assets that comprise the infrastructure necessary to support the services provided …
Accounting Standard AASB 116 Property, Plant and Equipment requires the depreciable amount of an asset to be allocated on a systematic basis over the asset’s useful life. Some commentators argue that depreciation methods that have conventionally been …
In response to these concerns, some public sector entities have adopted, or are considering the adoption of, alternative approaches to the depreciation of long-lived physical assets. These alternative methods are often described as Condition-Based …
In many cases, CBD methods are linked to a detailed asset management plan incorporating the estimated maintenance, refurbishment and rehabilitation work required to maintain current or required service levels of the asset over the long term, often 20 …
Adoption of CBD or similar methods of depreciation can have a significant impact on the operating results of public and private sector entities. Differing views are held about the extent to which all, or some, CBD methods comply with the requirements of …
The issue is what, if any, characteristics of CBD and similar methods of depreciation contravene the requirements of Accounting Standards? …
Condition-based depreciation and other methods of depreciation of long-lived physical assets, including infrastructure assets, that include any of the following characteristics do not comply with AASB 116 , and shall not be adopted: (a) the …
This Interpretation applies to annual reporting periods beginning on or after 1 January 2005. [Note: For application dates of paragraphs changed or added by an amending pronouncement, see Compilation …