Kit shopping: the financial reporting way

Today I got paid, and made a transfer from accrued income to cash per IAS 18 - Revenue:


Dr  Cash
      Cr  Revenue


I got myself down to a local sports retailer.  Whilst trying on kit, I realised that there was evidence of asset impairment.  As I held assets under the revaluation model, this triggered an IAS 36 - Impairment of Assets review.


Extract from non-current asset register:

1/01/09:   Balance brought forward: 36DD (nice!)
31/12/09: Impairment charge
1/01/10:   34B
19/03/10: Impairment charge
19/03/10: Balance carried forwards: 34A


Dr  Impairment loss
       Cr  Clevage



If any further impairments are required, I'm going to have negative equity!  Boo :-(  In order to preserve what little assets I have left, I invested in a new sport bra.



Dr  Wardrobe
        Cr Cash



Per IAS 16 - Property, Plant and Equipment's historic cost model it requires depreciating over it's useful economic life (UEL).   Cost equals £35.  UEL equals approx 350 miles.  Weekly milage rate is 30.  Estimated residual value = nil.  350/30 = 12 weeks.  35/12 = £2.91.  Therefore the new bra will be subject to a weekly depreciation charge of £2.91 over 12 weeks.



I can't wait for Financial Reporting to be over...