IPSAS 17 – Knowsia

PSAF – L2 – Q10.3 – International public sector accounting standards

Account for the treatment of a property reclassified as investment property in 2024 financial statements of the National Retirement Oversight Agency.

Question

The National Retirement Oversight Agency acquired a property on 1 January 2021 at a cost of GHc40,000,000 and immediately occupied it as office premise. On acquisition, it was estimated to have a useful life of 50 years. Subsequent to its acquisition, the asset was measured at depreciated cost until 1 October 2024 when management decided to use the building mainly for rentals. Following this decision, the property was fair valued at GHc38,000,000. The National Retirement Oversight Agency adopted the fair value model for subsequent measurement. At 31 December 2024, it was fair valued at GHc39,000,000.

Required:

Account for the treatment of this property in the 2024 financial statements of The National Retirement Oversight Agency.

Answer

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Tags: Depreciation, Fair value gain, Fair value model, Financial Statements, Investment property, IPSAS 16, IPSAS 17, Non-current Assets, Property reclassification, Public Sector Accounting
Level: Level 2

Topic: International Public Sector Accounting Standards

PSAF – L2 – Q10.1 – Revaluation of Assets

Show financial statement extracts for Kumawu District Assembly's building revaluation at 31 December 2024 under IPSAS.

Question

Kumawu District Assembly revalues its buildings and decides to incorporate the revaluation into the financial statements. The following information has been made available:
a) Extract from the statement of financial position at 31 December 2023

Buildings at cost	GHc’000
Buildings at cost	300,000
Accumulated Depreciation	(93,000)
Carrying amount	207,000

b) Depreciation has been provided at 2% per annum on a straight-line method.
c) The building is revalued at 30 June 2024 at GHc276 million. There has been no change in the remaining estimated future life of the buildings.
Required:
Show the relevant extracts from the financial statements at 31 December 2024.

Answer

Find Related Questions by Tags, levels, etc.

Tags: Asset Accounting, Buildings, Depreciation, Financial Statements, IPSAS 17, Public Sector, Revaluation, Revaluation Reserve, Statement of Financial Performance, Statement of Financial Position
Level: Level 2

Topic: International Public Sector Accounting Standards

Tag (SQ): IPSAS 17

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PSAF – L2 – Q10.3 – International public sector accounting standards

Account for the treatment of a property reclassified as investment property in 2024 financial statements of the National Retirement Oversight Agency.

PSAF – L2 – Q10.1 – Revaluation of Assets

Show financial statement extracts for Kumawu District Assembly's building revaluation at 31 December 2024 under IPSAS.

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Tag (SQ): IPSAS 17

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PSAF – L2 – Q10.3 – International public sector accounting standards

Account for the treatment of a property reclassified as investment property in 2024 financial statements of the National Retirement Oversight Agency.

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PSAF – L2 – Q10.1 – Revaluation of Assets

Show financial statement extracts for Kumawu District Assembly's building revaluation at 31 December 2024 under IPSAS.

You're reporting an error for "PSAF – L2 – Q10.1 – Revaluation of Assets"

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