Accounting for Non-Current Assets: Cost vs Revaluation Model Analysis

This report addresses key accounting issues related to non-current assets. It clarifies the difference between revaluation decrement and impairment loss, referencing Australian accounting standards, and advises on the appropriate use of each. The report also compares the cost model and the revaluation model for asset valuation, highlighting their differences in valuation methods, frequency, and impact on financial statements. It emphasizes the benefits of using the revaluation model for a company, considering its potential positive impact on balance sheets and investor appeal. The report includes references to relevant accounting resources, providing a comprehensive overview of the topic for accounting students.