Choice of cost or revaluation model by class

Learning objectives

• Identify the two subsequent measurement models.L1
• Explain why the choice applies to an entire class of property, plant and equipment.L2
• Assess the consequences of the choice of model for the financial statements.L3

Normative references

• IAS 16 §29Choice of the cost model or the revaluation model as accounting policy, applied to an entire class (subject to para. 29A).

Original summaries of the paragraphs (reference register), never a quotation of the standard.

1 question

• After initial recognition, how does an entity measure its property, plant and equipment under IAS 16?L1