As 16

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khan kabir

khan kabir (Querist)
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10 August 2014 what is substantial period of time??

CMA. CS. Sanjay Gupta

CMA. CS. Sanjay Gupta (Expert)
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10 August 2014 Explanation as per AS 16:

What constitutes a substantial period of time primarily depends on the facts and circumstances of each case. However, ordinarily, a period of twelve months is considered as substantial period of time unless a shorter or longer period can be justified on the basis of facts and circumstances of the case. In estimating the period, time which an asset takes, technologically and commercially, to get it ready for its intended use or sale is considered.