Revaluation model is allowed under IFRS mainly because it is useful in countries where
A) there is a high inventory turnover.
B) companies cannot estimate fair value of assets.
C) there is a high inflation rates.
D) companies cannot determine an appropriate method of depreciation.

Question

Quizplus · Accepted Answer

The revaluation model is particularly useful in countries with high inflation rates because it allows companies to adjust the book value of their assets to reflect current values, thereby providing more relevant financial information.

Revaluation Model Is Allowed Under IFRS Mainly Because It Is