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Tangible Non-Current Assets (IAS 16 (:warning:Why is the standard…

- - - - :check: Initial Measurement of NON CURRENT TANGIBLE assets
        
        :star:Cost to bring the assets to the position that It can be used for the intended Purpose
        
        Directly Attributable COSTS
        
        :check:Site Preparation and installation Cost
        
        :check:Professional Fees
        
        :pencil2:Legal Registration and Architect's Design Fees
        
        :check:Borrowing Costs
        
        :warning: DURING CONSTRUCTION ONLY
        
        :check:Transportation and Handling Cost
        
        :check: Testing
        
        :no_entry: wastage and errors are not recognised as cost
        
        :check:Purchase Cost
        Less :check:Trade Discounts but
        :forbidden: Before settlement discounts
        
        :check:Decommissioning Costs
        
        Non-Current Asset Dr.
        Provision Cr.
        
        :check:Non-Refundable Duties
      - Subsequent Measurement
        
        :warning:Tests For Capitalization
        
        :no_entry: repair and maintenance is not capitalized
        
        :check:Improvement
        
        :check:Increase in asset's useful life
        
        :check:Major overhaul that restores its
        previous life and the consumption
        of previous economic benefits
        
        :warning: where a component is treated separately,
        when such item is replaced or restored
        
        :Warning: for such costs no provision is made as there is no present obligation as there is not guarantee that the business will continue to use the asset , ie it may sell the asset as well.
        
        :check:Production Capacity
        
        :check:Improved Quality of Output