[DSE]You are not alone - BAFS篇 (10/2更新#31+32 Business environment)

Kamma

What if "going concern" does not hold?
Assets are normally valued at historical cost.  If with intention to sell the business in short, assets are valued at current market price.

Why historical cost?
Prudence: Unrealised holding gains should not be capitalised.

Note:  Students are not required to discuss the shortfalls of the accounting principles.  (This is the job of the panels of HKICPA, not an ordinary student)  Only the application of the principles is required.

Kamma

回復  Kamma
感謝頭兩項的補充
不過DSE既BAFS curriculum guide係GAAP呢一課度講左呢一樣既要求：
「Expla ...
小雪冰 發表於 30-3-2013 18:44

Actually I've forgot whether the revaluation model (depreciation) is required in HKDSE.  If not, just take my part for granted.

Under HKAS 16 Plant, property and equipment, an entity can choose to adopt the revaluation model.  The unrealised holding gain should be recorded as "revaluation reserve" (not P&L as income!!!), which is a non-appropriable fund (cannot be distributed as share dividend).



p.s. I am not studying Prof. Acct. in university.  Please do not take 100% credit on my words.

Kamma

回復  Kamma
之前我都試過做題目既時候遇到revaluation reserve
問左老師之後 先知revaluation reserve係D ...
小雪冰 發表於 30-3-2013 20:46

中六中七讀果D我都唔記得七七八八，係中四五果D淺野仲記得。

Kamma

回復  Kamma
um 果次我做果條係incomplete record黎
不過其實講到revaluation 應該係同partnership有比較 ...
小雪冰 發表於 30-3-2013 20:57

我讀測量。
讀得AL老師實會講下HKAS，考既野內容都係跟返HKAS。

PPE既Revaluation同Partnership既Revaluation係兩樣野，前者係反映資產既市價，後者係維持合夥人之間公平。

Kamma

回復 61# 小雪冰

都話係兩樣野黎

Kamma

回復 63# 小雪冰

學術討論不如上高登認真