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In finance, a revaluation of fixed assets is an action that may be required to accurately describe the true value of the capital goods a business owns.[1] This should be distinguished from planned depreciation, where the recorded decline in the value of an asset is tied to its age.
Fixed assets are held by an enterprise for the purpose of producing goods or rendering services, as opposed to being held for resale for the normal course of business. An example, machines, buildings, patents, or licenses can be fixed assets of a business.
The purpose of a revaluation is to bring into the books the fair market value of fixed assets. This may be helpful in order to decide whether to invest in another business. If a company wants to sell one of its assets, it is revalued in preparation for sales negotiations.
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^Bragg, Steven (2023-04-25). "Revaluation model definition". AccountingTools. Retrieved 2023-07-30.
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(estimate of future cash flows the entity expects to derive from the asset). An impairment cost under the revaluation model is treated as a revaluation decrease...
of the important issues of the stabilization of a hyperinflation is the revaluation. The term normally refers to the raising of the exchange rate of one...
Official lowering of the value of a country's currency within a fixed exchange-rate system Revaluation – Official increase in the value of a country's currency...
adjustable peg system is a system offixed exchange rates, but with a provision for the revaluation (usually devaluation) of a currency. For example, between...
case for an upward revaluation, an increased rate of appreciation against the US dollar is unlikely in the short term. And as of February 2012, China's...
allows for some revaluation, but tends to stabilize the currency's value within the band. In this sense, it is a compromise between a fixed (or "pegged")...
other countries to agree to a formal revaluationof their currencies.[citation needed] In March 1973, the fixed exchange rate system became a floating...
equity [for profit enterprise] or net assets [not-for-profit enterprise] represent the residual interest in the assetsof an entity that remains after deducting...
the start of the regulatory period. In practice, the depreciation has not been set in this way. Periodic revaluationof the regulatory asset base exposes...
code for the Mexican peso is MXN, reflecting its 1993 revaluation). Another solution to a revalued currency having the same name as its predecessor is to...
unfair burden on the rest of the property owners. To correct this imbalance municipalities periodically revalue property. Revaluation produces an up-to-date...
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