IAS 16 - Revaluation

If a company adopts the Revaluation model, does it have to be applied to all assets, or can some assets be measured using the Cost model? I realise that if the Revaluation model is adopted, all assets within that group must be revalued, but my question is, could motor vehicles be measured at cost, and land and buildings be revalued?


  • peugeot
    peugeot Registered Posts: 624
    Yes that is correct. As long as ALL assets in the same class e.g. buildings are revalued then it is fine to leave others. Typically it is common for companies just to revalue buildings as these frequently change in value but as long as ALL buildings are revalued then the provisions of IAS 16 in terms of revaluation will have been met. Typical example is where a company has a head office and five depots. If it revalues the head office building, then it must revalue all other depots buildings (assuming they are owned of course).

  • Richard
    Richard Registered Posts: 373
    Thanks for your reply.
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