03-07-2009, 08:31 PM
Dear Kamran !!!!
would you plz refer to IAS 23 -Borrowing costs. The Std stipulates that borrowing costs in case exchange differences - losses- arising from foreign currency borrowings, to the extent that they are regarded as an adjustment to interest costs may be capitalized for qualifying assets (an asset that takes a substantial period of time to get ready for its intended use or sale). Other foreign exchange losses can not be capitalized.
Hope to have an answer from u.
Adil Iqbal
would you plz refer to IAS 23 -Borrowing costs. The Std stipulates that borrowing costs in case exchange differences - losses- arising from foreign currency borrowings, to the extent that they are regarded as an adjustment to interest costs may be capitalized for qualifying assets (an asset that takes a substantial period of time to get ready for its intended use or sale). Other foreign exchange losses can not be capitalized.
Hope to have an answer from u.
Adil Iqbal
