1. PS SIKHOSANA
LESSON BASED ON PROPERTY PLANT AND
EQUIPMENT
THIS IS A MISHUPS OF DIFFERENT POWERPOINTS.

2. INTRODUCTION TO
PROPERTY PLANT AND
EQUIPMENT
GRADE 11

21. REVALUATION METHOD
Revaluation model:
Increase in Liability
Dr. Profit or Loss OR
Dr. Revaluation surplus (to the extent a credit balance
exist in the revaluation surplus in respect of that asset)
Cr. Liability
Decrease in Liability
Dr. Liability
Cr. Revaluation surplus OR
Cr. Profit or Loss (to the extent previous decrease in
value of asset is recognised in Profit or Loss)
If the decrease in the liability exceeds the carrying
amount (as per cost mod

22. Revaluation: the Accounting
Method 1
Any accumulated depreciation at the date of revaluation is
eliminated against the gross carrying amount of the asset and the
net amount is restated to the revalued amount of asset. Result:
• The asset is stated at revalued amount; and
• Accumulated depreciation reset to zero.
This method is often used for buildings that are revalued to their
market value.

30. REFERENCE LIST
 http://www.slideshare.net/MHMPC/webinar-slides-international-accounting-
for-property-plant-and-equipment?qid=2a1145b7-5d3d-42fc-b836-
6a689b6bdc06&v=qf1&b=&from_search=2
 http://www.slideshare.net/mudasserjavedhassan/depreciation-accounting-
31602261
 Wiley. J ,Basic principles of accounting. 1976.Wiley &son publishers.
 http://www.slideshare.net/saraibrahim16121/ch01-15444800
 http://www.slideshare.net/Chapter8254ICWAI/property-plant-and-
equipment-ias-16
 http://www.slideshare.net/swagato/depreciation-2-presentation