Change in life of asset

Accountancy

Sir as we have seen when the revised life of asset came down from 7 to 5 then we divided the amount by 5 But if the revised life of the asset went from 7 to 8 then we should divide it by 8 [video Time Stamp: 05:55] Video Details ------------- Accounting - CA Foundation (New) Concept and Accounting of Depreciation #20. Change in Method of Depreciation: Illustration 2

Gurukanta Singh

CA Inter

★ 20K+

09-Jul-25 22:52

227

Answers (3)

Yes

Likith kumar Duganapalli

Moderator

10-Jul-25 13:31

The useful life of Asset is treated as Accounting Estimate so any changes in it should be treated prospectively.

Kottha Avinash

CA Final

★ 2K+

10-Jul-25 16:57

Kottha Avinash

The useful life of Asset is treated as Accounting Estimate so any changes in it should be treated prospectively.

Yes.

Likith kumar Duganapalli

Moderator

11-Jul-25 09:27