A client who owns a company has approached a firm regarding their plan to revalue land assets to their current value and advice in relation to the potential sale of the company. The assets were acquired many years ago and still recorded at cost. There assets fall into 3 categories including orchards that produce apples for sale, land located next to the main orchard and land on a hillside that they have acquired with intention to build something for orchard tours. The client believes increasing these assets values will bolster the balance sheet to improve the position in potential negotiations. They want advice regarding possibility of revaluing some or all the land assets. Note, the land is not an investment property.

At the start of each section of the report, you are required to provide an exact quote of each paragraph of an accounting standard, or each section of legislation, referred to in that section of the report.

You are expected to:

• Define the issues and apply the requirements of relevant accounting standards
• Describe any other relevant factors that need to be considered
• Describe and justify the advice you suggest to be given to the client.

You need to focus on Conceptual framework and AASB 116