morebeans

>Q1. What will be the treatment of increase in “NonCash operating net working capital” in order to calculate CFO under indirect method? and WHY?
>*Non Cash Operating NWC = Receivable + Inventories  Payables
Any increase in noncash expense is added back to net income in indirect CFO reporting. You are looking at the cash conversion cycle and this is one measurement of liquidity. Are you thinking of free cash flow for the firm? Thats a different equation.
>Can anyone explain me the treatment of Property, Plant & Equipment under IFRS when..
>A. they are valued downwards for the first time?
>B. they are valued downwards after the upward valuation?
>C. they are valued upwards for the first time?
>D. they are valued upwards after the previous devaluation?
a. Losses on revaluation are reported on income statement after tax line in nonreoccuring income
b. imagine the same revaluation would take place, as reported on income statement after tax line in nonreoccuring income
c. Gains on revaluation are reported on equity section of balance sheet
d. Gains on revaluation are reported on income statement to the extent of previous losses, and then on equity section of balance.