08-16-2006, 04:18 AM
NO i still dont agree with u
i have confirmed this from the best Accc. teacher of TSA.. & i totally agree to this
+solutions by PAC also confirm my treatment...so i hav also got +1 Vote of PAC 4 my solution
for referenece look solution by PAC if U hav of SPRING 2003 Q.5
look how this goes as per IAS
capitalise specific borrwoing cost
theek hai
in the meanwhile ,the period for which specific borrowing is not used on the qualifying asset ,it is temporarily invested and the temporary investment income is thus reduced from the specific borrwing cost capitalised...
so here makes sense -ve capitalisation of temporary investment income
+1nce again hav a look at para15,i think u are just focusing on para20 & ignoring para 15 of IAS 23
ACHAA wat logic U have for reducing the temporay investment income on specific borrowing from Borrowing cost capitalised???????
besides as far as ur concern 4 commencemnet of capitalisation is concerned
point 1expenditures for the asset are being incurred
so from 1 april onwards expenditure for the asset are being incurred
thus the condition is fulfilled
we didnt capitalise b4 1 april b/c this criteria wasn't met
i have confirmed this from the best Accc. teacher of TSA.. & i totally agree to this
+solutions by PAC also confirm my treatment...so i hav also got +1 Vote of PAC 4 my solution
for referenece look solution by PAC if U hav of SPRING 2003 Q.5
look how this goes as per IAS
capitalise specific borrwoing cost
theek hai
in the meanwhile ,the period for which specific borrowing is not used on the qualifying asset ,it is temporarily invested and the temporary investment income is thus reduced from the specific borrwing cost capitalised...
so here makes sense -ve capitalisation of temporary investment income
+1nce again hav a look at para15,i think u are just focusing on para20 & ignoring para 15 of IAS 23
ACHAA wat logic U have for reducing the temporay investment income on specific borrowing from Borrowing cost capitalised???????
besides as far as ur concern 4 commencemnet of capitalisation is concerned
point 1expenditures for the asset are being incurred
so from 1 april onwards expenditure for the asset are being incurred
thus the condition is fulfilled
we didnt capitalise b4 1 april b/c this criteria wasn't met
