Is it PPE, IP, H4S or inventory (when you buy land and buildings) - an example discussed.

A company has bought land and buildings for renovation and sale 10 months later.
Explain how this will be classified and accounted!
So have a think before you watch the video where I explain and justify the answer. There are 4 possible answers!
Can you explain why three are wrong and only one is right?
IAS16 PPE
IAS40 IP
IAS2 Inventory
IFRS5 Held for Sale
I hope you find the video useful. Like it & subscribe to my channel if you do.
If you want to pass ACCA SBR then get in touch via my website www.tomclendon.co.uk

Пікірлер: 34

  • @fleximick
    @fleximick2 жыл бұрын

    Tom, I wish you taught every ACCA paper!

  • @tomclendonaccasbronlinelec7226

    @tomclendonaccasbronlinelec7226

    2 жыл бұрын

    SBR’s a big enough beast for me! 😀

  • @mateuszmejza1178
    @mateuszmejza11787 ай бұрын

    Only the third video on this channel that I watch and halfway through it my mental dialogue goes "I like this guy!" hehe. These real life accounting examples told in an engaging way are rare on the internet. Many thanks!

  • @tomclendonaccasbronlinelec7226

    @tomclendonaccasbronlinelec7226

    7 ай бұрын

    Thank you - thanks great feedback - glad you appreciate the videos and find them useful

  • @nakambachiweza
    @nakambachiwezaАй бұрын

    Your analysis skills are just at another great level!

  • @tomclendonaccasbronlinelec7226

    @tomclendonaccasbronlinelec7226

    Ай бұрын

    Thank you. Kind of you to say so

  • @ikramfazal5208
    @ikramfazal52082 жыл бұрын

    A very good example with complete explanation. This example will surely enhance our way of consideration

  • @tomclendonaccasbronlinelec7226

    @tomclendonaccasbronlinelec7226

    2 жыл бұрын

    Thank you

  • @pro-educationacademyltd7713
    @pro-educationacademyltd7713 Жыл бұрын

    Tom you still strong in your explanation well done. Ali Khelfaoui

  • @tomclendonaccasbronlinelec7226

    @tomclendonaccasbronlinelec7226

    Жыл бұрын

    Thanks Ali

  • @Mlamsjans
    @Mlamsjans Жыл бұрын

    Great explaination. Thank you Sir

  • @tomclendonaccasbronlinelec7226

    @tomclendonaccasbronlinelec7226

    Жыл бұрын

    Thank you for your thank you

  • @alalekohani1186
    @alalekohani11867 ай бұрын

    Great explanation. Thanks for your useful video.

  • @tomclendonaccasbronlinelec7226

    @tomclendonaccasbronlinelec7226

    7 ай бұрын

    A pleasure

  • @lessthan90degree
    @lessthan90degree2 жыл бұрын

    *Thank you Tom* ! You cleared up so many things especially how to tackle exam questions.

  • @tomclendonaccasbronlinelec7226

    @tomclendonaccasbronlinelec7226

    2 жыл бұрын

    No problem. Happy to help

  • @amrmunir4483
    @amrmunir448311 ай бұрын

    Thanks Tom , i really enjoy your videos its full of great help and energy 💞

  • @tomclendonaccasbronlinelec7226

    @tomclendonaccasbronlinelec7226

    11 ай бұрын

    Thank you for your kind words

  • @hemashreesampath5157
    @hemashreesampath5157 Жыл бұрын

    Thanks alot sir for such a clear explanation, it really helped me understand the concept

  • @tomclendonaccasbronlinelec7226

    @tomclendonaccasbronlinelec7226

    Жыл бұрын

    glad it helped

  • @libertydhobhi2869
    @libertydhobhi2869 Жыл бұрын

    Great thanks Tom

  • @tomclendonaccasbronlinelec7226

    @tomclendonaccasbronlinelec7226

    Жыл бұрын

    No worried Liberty

  • @kwameodoom1305
    @kwameodoom13052 жыл бұрын

    Great Job, Tom. I love it. You might want to take it a little further to explain what happens if the property is not sold after the 12 months period.

  • @tomclendonaccasbronlinelec7226

    @tomclendonaccasbronlinelec7226

    2 жыл бұрын

    It can still be inventory! After all some stocks take more than one year to season (wood / whisky) as they have a longer operating cycle

  • @shabbirkurawedwala7579
    @shabbirkurawedwala7579 Жыл бұрын

    Brilliant explanation👍

  • @tomclendonaccasbronlinelec7226

    @tomclendonaccasbronlinelec7226

    Жыл бұрын

    Thank you

  • @kellygopiechansingh8168
    @kellygopiechansingh8168 Жыл бұрын

    This was a fantastic explanation!

  • @tomclendonaccasbronlinelec7226

    @tomclendonaccasbronlinelec7226

    Жыл бұрын

    Thank you Kelly - that is kind of you to say so

  • @mbfajardo
    @mbfajardo2 жыл бұрын

    Great explanation Tom! 👏🏻👏🏻 I

  • @tomclendonaccasbronlinelec7226

    @tomclendonaccasbronlinelec7226

    2 жыл бұрын

    Thank you

  • @ammars8455
    @ammars84552 жыл бұрын

    Hey Tom, great video and explantion. Also I have doubt regarding if in the group accounts question, will the spreadsheet calculations be marked if we provide discussion in word and calculations in a spreadsheet?

  • @tomclendonaccasbronlinelec7226

    @tomclendonaccasbronlinelec7226

    2 жыл бұрын

    Yes it will

  • @Ivan-tk7pn
    @Ivan-tk7pn Жыл бұрын

    What if it's an asset held for sale but but still the company continues to get rental income whilst actively marketing it .

  • @tomclendonaccasbronlinelec7226

    @tomclendonaccasbronlinelec7226

    Жыл бұрын

    The lessor would be recognising the rental income in the PL