لخّصلي

Under IAS 16.7 an organization should recognize assets as plant, property and equipment if and when it is noted that the future economic benefits associated will flow back to the organization and if and when anorganization can reliably measure the cost of anasset.Inaddition the organization recognizes the plant , property and equipment costs at the same time they are incurred.In addition continued operations on the assets of plant, property and equipment like aircraft may require the organization to conduct continuous inspection of the faults irregardless of whether an organization replaces the parts of the equipment.Though IAS 16 does not substitute what prescribes a specific unit of measure to an item as to what includes the item of property plant and equipment ( IAS 16) but stipulates that in cases where the items contain significant cost model in the total cost model the organization should depreciate them separately ( IAS 16.43) .The initiative enhances clarity and as it promotes the required transparency and accountability.(IAS 16.13).

Under IAS 16.7 an organization should recognize assets as plant, property and equipment if and when it is noted that the future economic benefits associated will flow back to the organization and if and when anorganization can reliably measure the cost of anasset.Inaddition the organization recognizes the plant , property and equipment costs at the same time they are incurred. Thus, the costs are inclusive of the costs used in the construction or acquisition of an item of plant, property and equipment including the costs that the organization incur in adding, servicing and replacing of an item. Though IAS 16 does not substitute what prescribes a specific unit of measure to an item as to what includes the item of property plant and equipment ( IAS 16) but stipulates that in cases where the items contain significant cost model in the total cost model the organization should depreciate them separately ( IAS 16.43) . The initiative enhances clarity and as it promotes the required transparency and accountability. In addition the IAS 16 recognizes that over time some parts of the plant property and equipment could require replacement at regular intervals (Dawd et al.,2018). Therefore, the carrying amount of the non current plant , property and equipment consists of the replacement costs to the parts if and when the organization expects
to reliable earn economic benefits from the replaced parts. The carrying costs of the replaced parts of the plants, property and equipment are derecognized in recognition to the derecognition process in the IAS 16.67-72. (IAS 16.13). In addition continued operations on the assets of plant, property and equipment like aircraft may require the organization to conduct continuous inspection of the faults irregardless of whether an organization replaces the parts of the equipment. Thus, when an organization conducts an inspection the organization recognizes the carrying amount in the plant, property and equipment as a replacement if and when its meet all the criteria. Additionally the organization can conduct a future estimation of the provision to the replacement based on the current performed inspection allocated to the carrying cost of plant property and equipment of an organization.