LAS $8$

Question $3$

While preparing financial statements of Bilal Limited $($BL$),$ you noted the following points:

$($a$)$ BL changed its accounting for land and buildings from cost model to revaluation model.

$($b$)$ The useful life of plant was revised downwards following impairment loss.

$($c$)$ The depreciation method for depreciating furniture was changed from straight line method to

reducing balance method.

$($d$)$ The cost formula used for valuation of inventories was changed from FIFO to weighter

average.

$($e$)$ It was discovered that last year company's inventory sheets were under$-$casted.

$($f$)$ It was discovered that actual NRV of inventory was much lower than expected.

Required

Whether the above are changes in accounting policies, accounting estimates or errors.

Question $4$

G Ltd adopted IFRSs from the beginning of year $2012.$ As a consequence, G Lud chy

accounting policy for the treatment of borrowing costs that are directly attributah

acquisition of a hydroelectric power station under construction for use by G LUd. $1$