urgent !!! plzMeasurement basis usedA first-time shareholder has approached yourequesting some advice. The shareholderhas received the company's annual reportand noticed the following statement in thesummary of significant accounting policies:The financial report has been prepared on thebasis of historical cost, except for therevaluation of certain non-current assetswhich is explained in the notes.RequiredExplain to the shareholder why this statementis included in the accounting policynote.

The financial statements are prepared mostly on the basis of historical cost basis for the assets or…

The financial report has been prepared on the basis of historical cost, except for the revaluation of certain non-current assets which is explained in the notes. Required Explain to the shareholder why this statement is included in the accounting policy note.

The financial report has been prepared on the basis of historical cost, except for the revaluation of certain non-current assets which is explained in the notes. Required Explain to the shareholder why this statement is included in the accounting policy note.

SWFT Essntl Tax Individ/Bus Entities 2020

23rd Edition

ISBN:9780357391266

Author:Nellen

Publisher:Nellen

Chapter13: Corporations: Earning & Profits And Distributions

Section: Chapter Questions

Problem 3BD

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Question

urgent !!! plz
Measurement basis used
A first-time shareholder has approached you
requesting some advice. The shareholder
has received the company's annual report
and noticed the following statement in the
summary of significant accounting policies:
The financial report has been prepared on the
basis of historical cost, except for the
revaluation of certain non-current assets
which is explained in the notes.
Required
Explain to the shareholder why this statement
is included in the accounting policy
note.

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