Part a:

Qualitative Characteristics of General-Purpose Financial Statements

1. Relevance:
   Financial information must be relevant to the decision-making needs of users. It should help them evaluate past, present, or future events or confirm or correct their past evaluations.
2. Faithful Representation:
   Information must faithfully represent the economic phenomena it purports to represent. It should be complete, neutral, and free from error. This ensures that users can rely on the information to represent what it claims to represent.
3. Comparability:
   Users must be able to compare the financial statements of an entity over time and with other entities to identify trends, similarities, and differences. Consistency in the application of accounting policies enhances comparability.
4. Verifiability:
   Financial information should be verifiable, meaning that knowledgeable and independent observers can reach a consensus that an event has occurred or that the information faithfully represents what it purports to represent. This provides assurance to users.
5. Timeliness:
   Information must be available to decision-makers in time to be capable of influencing their decisions. Delayed information may lose its relevance and utility.

Part b:

Methods of Valuation Recognized in IAS 16 for Property, Plant, and Equipment

1. Cost Model:
   Under the cost model, property, plant, and equipment are carried at their cost less any accumulated depreciation and any accumulated impairment losses. This approach emphasizes the initial cost of the asset and is simple to apply, providing clear information about the asset’s value based on its purchase price.
2. Revaluation Model:
   The revaluation model allows entities to carry property, plant, and equipment at their fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses. Revaluations should be performed regularly to ensure that the carrying amount does not differ materially from fair value. This method provides users with updated information about the current market value of the assets.