A first-time shareholder has approached you requesting some advice. The shareholder has received the companys annual report
Question:
A first-time shareholder has approached you requesting some advice. The shareholder has received the company’s annual report and noticed the following statement in the summary of significant accounting policies:
The financial report has been prepared on the basis of historical cost, except for the revaluation of certain non-current assets which is explained in the notes.
Required
Explain to the shareholder why this statement is included in the accounting policy note.
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Related Book For
Financial Reporting
ISBN: 9780730396413
4th Edition
Authors: Janice Loftus, Ken Leo, Sorin Daniliuc, Belinda Luke, Hong Nee Ang, Mike Bradbury, Dean Hanlon, Noel Boys, Karyn Byrnes
Question Posted: