11-14-2007, 10:01 PM
Dear,
I am of determined view that now if some company (not a small company) will adopt the practice of deferring its pre-operating costs, it will be a non-compliant and may face inquiries.
In my view now there is no room of non-preparation of profit and loss account during pre-operting period.
However, test run costs capitalized as part of Propety, Plant and Equipment covered in IAS 16 are something different. These are not basically the deferring of costs. If you need discussion on it, plz let me know.
Regards,
Kamran.
I am of determined view that now if some company (not a small company) will adopt the practice of deferring its pre-operating costs, it will be a non-compliant and may face inquiries.
In my view now there is no room of non-preparation of profit and loss account during pre-operting period.
However, test run costs capitalized as part of Propety, Plant and Equipment covered in IAS 16 are something different. These are not basically the deferring of costs. If you need discussion on it, plz let me know.
Regards,
Kamran.
