Non-current assets Essay Example | Topics and Well Written Essays - 1250 words

Non-current assets - Essay Example The paper will look at two standards by the IAS, which are the IAS 16 and IAS 38 regarding non-current assets. This paper attempts to analyze the standards that IAS sets regarding accounting of non-current assets. It sets these guidelines on how organizations and companies should handle both tangible and intangible non-current assets. IAS is responsible for setting international auditing standards so that they act as guidelines for auditors and accountants to follow regarding non-current assets (Kirk, 234). Each part in the accounting profession has its own standards as a guide on how to handle it. For instance, handling plant and machinery under IAS 16 is different from dealing with intangible non-current assets under IAS 38. This creates a form of independence when dealing with various aspects in the accounting process. IAS standards on Property, plant, and equipment IAS 16 defines handling of property, plant and equipment which is different from IAS 38 which defines handling of in tangible assets in financial statements. Property, plant and equipment are all fixed tangible assets; therefore, adoption of a common method when dealing with them in the accounting process. ... The first guideline is their initial measurement which entails the initial cost and all other cost necessary to make the assets ready for use. It also includes capitalization of interest costs. The other step is the subsequent measurement of the fixed assets which entails depreciation and disposal of assets (Kirk, 234). The rule of Impairment and disposing of the assets indicates how to dispose of such assets in terms of the guidelines. Accounting standards regarding these three assets provides a guideline on how to classify long-lived assets that are held for sale and those held for use. Long-lived assets that are meant to be held for sale do not depreciate; therefore, their presentation should be separate. They should be placed separately in a statement of financial position. This is because they are not in the business for use, rather they are for sale; hence, their selling price does not fall. The accounting standards provide rules and formula regarding how to measure this type o f fixed assets (Kirk, 250). The other guideline regarding plant, property and equipment is the discontinued operations for those assets held for sale and those held for use. The impairment test and recoverability test give rules regarding recoverability of fixed assets and those that are not recoverable. There are also rules on the impairment loss on plant, property and equipment under the accounting standards. The standards provide for impairment loss that can be reversed, and that is unversed. This indicates how these types of losses are recognized when preparing financial statement (Alexander, 359). The standards also give conditions on when such losses cannot be reversed, for instance in situations where there is an increase in the fair value of plant,

Growth and Development Assessment Project Essay Example | Topics and Well Written Essays - 750 words

Growth and Development Assessment Project - Essay Example e may be on the thin side, but according to her mother, a recent visit with the Pediatrician assured her that Chloe is within the normal weight range for her age, having gained the appropriate weight of five to seven pounds yearly (Middle Childhood n.d.). This is likewise confirmed by her mother who took Chloe to the pediatrician recently. Her movements are more coordinated and smoother than compared to early childhood, a very distinctive physical trait at her age (Middle Childhood n.d.). At age eight, Chloe can complete basic mental operations of problems that require the presence of tangible objects and situations. She can likewise organize objects with varying sizes in the likes of â€Å"small, medium and big†. As an eight year old, Chloe belongs to the middle childhood stage of human development where according to Piaget’s Model of Cognitive Development can analyze the thought of reversibility and serial ordering (Passer et al 2001). Moreover, being able to comprehend how to solve problems so long as concrete objects and situations are present; and being capable of arranging things with different dimensions, Chloe’s cognitive progress conforms and adheres to Piaget’s theory of the middle childhood’s intellectual development where the child from seven to twelve years of age can think logically and perform proper serial ordering (Passer et al 2001). Chloe is in addition is a very enthusiastic girl who possesses a knack for an unrestrained kind of imagination. Yet, there are times that she gets frustrated of the outcomes of her abilities especially in school. And while she does her utmost best to study her subjects and to participate in other school activities, her grades does not come up with what she expects them to be. These incidents make her quite frustrated at times. The foregoing factors identifies with Erikson’s Eight Stages of Human Development, where he states that the middle childhood’s emotional development is appropriately described