Accg224 Demonstration Slides

 Accg224 Display Slides Composition

Rio Verniciato


Requirements of

Home, Plant and


Aim of Presentation:

1 . Provide a description of Rj Tinto and its particular activities

regarding Property, Herb and Equipment (PPE)

installment payments on your Analyse how a disclosure requirements of PPE

met by simply Rio Morapio satisfy the two fundamental

qualities of beneficial financial information

along with two boosting characteristics.

three or more. State the extent to which the disclosure

requirements of PPE line-up with the aims of

practical financial information

4. Advise actions intended for improvement

Rio Tinto and PPE

British-Australian multinational alloys and exploration


Headquarters located in Greater london and a

management office in Melbourne

Disclosure requirements of PPE as of AASB 116

Rj Tinto's 2013 annual report and its endeavors to

meet the disclosure requirements of PPE

Meets most requirements besides one, 77f of the AASB


Rj Tinto and PPE

PPE and Qualitative


Qualitative characteristics are more comfortable with make

financial information more useful and achieve the

purpose of economic reports.

All of us will look in the two critical characteristics

relevance and dedicated representation. Two

enhancing qualities understandability and





Relevance, predictive and/or confirmatory value, and materiality. An example of relevance is definitely the listing of valuable lives of assets. Faithful Representation

To become faithfully displayed it must be full, neutral and free from error.

Explanations supplied are an example of complete information. Due to a shortage of 77f, this info is not complete or free from error therefore not satisfying this kind of qualitative feature.




Related information can be presented intended for the agencies PPE in

two diverse years permitting comparability.

Economic information and methods utilized are similar to

different entities allowing comparability.


Rio Tinto's financial details comes with very clear

descriptions and notes combined with the numeric info.

For instance, PPE has its own section under theory

accounting plans used on web page 122.

Understandability Example

PPE and the Aims of Basic

Purpose Monetary Reports

Target of general purpose financial studies is to

offer useful economical information to primary

external users.

PPE disclosure requirements complement the

objectives of general purpose economical reports

Viewed through the requirements satisfying the

qualitative features.

For example the requirement to list assets agreed

as protection is very valuable and will effect decision

producing and examination.


The 2013 twelve-monthly report offers met the majority of the

disclosure requirements listed in the AASB 116

PPE requirements more often than not satisfy the

four aforementioned qualitative attributes of

economical information. Done through obvious concise

business presentation of statistical data and explanations.

The objective of general purpose economical reports

line-up with the disclosure requirements of PPE because

they make financial information even more useful.


I would recommend Rio de janeiro Tinto to add the

dependence on 77f and in addition list the four further

optional disclosure requirements classified by

paragraph 79 of AASB 116.

An example of this is 79b whereby can be gives the

option to list the gross having amount of any completely

depreciated PPE that is continue to in use.

Through these advice I believe the

financial information of Rio Tinto might become

more useful and additional satisfy the qualitative

characteristics of economic information.