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05 August 2011 When do we do revaluation of an asset and why is it done so??

CA. Vikash Dwivedi

CA. Vikash Dwivedi (Expert)
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05 August 2011 there can be many reason to carry out Reavaluation. For instance when impairment indicators are indicating so, may be part of due deligence, when BV are not true values and so on.
Revaluation is done so as to assess and ascertain the real/ fair value of the assets appearing in the books.
sometimes Revaluation is used with malicious intentions to inflate B/sheet which is seriously monitored by various agencies for Big companies.

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