Revaluation Reserve on TB

ClarekayeClarekaye Trusted RegularPosts: 306Registered
Afternoon,

Just come across a question and I am a little stuck, I know how to deal with a revaluation reserve in the year your doing but what if there is £8000 on the trial balance before you start doing anything?
Do you take it off the land or off something else and do you include it in the statement of changes in equity or only include the one in the year?

Thanks!

Comments

  • BluewednesdayBluewednesday Font Of All Knowledge Posts: 1,624Registered
    A brought forward revaluation reserve has come from previous revaluations so you would just add (or take away) the revaluation amount of the current year. You would include it as a brought forward balance in the SOCIE.
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