AS10

As per AS 10 - Investment property as defined in AS 13 will be measured using cost model. Pls refer to AS 10. AS 13 tells us the meaning of Investment Property. And that investment property will be measured using AS 10 - cost model. In other words, the revaluation model is not permitted.

CA Suraj Lakhotia

Admin

20-Feb-23 14:22

For business fixed assets, we value at cost basis when we purchase because the asset will get depreciated.

Kamal Kumar

CA Inter

★ 7K+

19-Feb-23 20:13

AS 10 provides the guidance for the determination of the cost of fixed assets which is essential for the application of the cost model under AS 13 for accounting of investments.

Sandeep Kumar

CA Inter

★ 2K+

19-Feb-23 22:51

What is cost basis model here

Thread Starter

Reetikaa R

CA Final

★ 7K+

20-Feb-23 00:31

The cost basis model is a way of accounting for investments where the original cost of the investment is recorded on the balance sheet and any changes in the investment's market value are not recognized until the investment is sold. This method is typically used for long-term investments that are not actively traded in the market. Under this model, the investment is recorded at its historical cost and any subsequent capital contributions, distributions, or impairment losses are adjusted accordingly.

Sandeep Kumar

CA Inter

★ 2K+

20-Feb-23 00:43