22 November 2012
Last year Company provide deprecaition on particular assets @ 13.91% under WDV method. But acutally depreciation on this assets actually 40%. There is no change in method of deprecation. Only rate changes so surplus or deficit of depreciation charged to Prior Period Adjustment in F.Y. 2012-13. Other disclosure in accounting polices are required to be made or not.
22 November 2012
If depreciation was charged by error at wrong percentage, current year you can charge as prior period adjsutment as this is clearly an error pertaining to previous years and there is no other mention in any where required.
CAclubindia
