Under IFRS, for each class of property, plant, and equipment, a company must disclose the measurement basis, the depreciation method, the useful life (or, equivalently, the depreciation rate) used, the gross carrying amount, and the accumulated depreciation at the beginning and end of the period, and a reconciliation of the carrying amount at the beginning and end of the period.
In addition, disclosures of restrictions on title and pledges as security of property, plant, and equipment and contractual agreements to acquire property, plant, and equipment are required. If the revaluation model is used, the date of revaluation, details of how the fair value was obtained, the carrying amount under the cost model, and the revaluation surplus must be disclosed. A company must also disclose the depreciation expense for the period, the balances of major classes of depreciable assets, accumulated depreciation by major classes or in total, and a general description of the depreciation method(s) used in computing depreciation expense with respect to the major classes of depreciable assets.
Under IFRS, for each class of intangible assets, a company must disclose whether the useful lives are indefinite or finite. If finite, for each class of intangible asset, a company must disclose the useful lives (or, equivalently, the amortisation rate) used, the amortisation methods used, the gross carrying amount and the accumulated amortization at the beginning and end of the period, where amortisation is included on the income statement, and a reconciliation of the carrying amount at the beginning and end of the period.
If an asset has an indefinite life, the company must disclose the carrying amount of the asset and why it is considered to have an indefinite life. Similar to property, plant, and equipment, disclosures of restrictions on title and pledges as security of intangible assets and contractual agreements to acquire intangible assets are required. If the revaluation model is used, the date of revaluation, details of how the fair value was obtained, the carrying amount under the cost model, and the revaluation surplus must be disclosed.
Under US GAAP, companies are required to disclose the gross carrying amounts and accumulated amortisation in total and by major class of intangible assets, the aggregate amortisation expense for the period, and the estimated amortisation expense for the next five fiscal years.
The disclosures related to impairment losses also differ under IFRS and US GAAP. Under IFRS, a company must disclose for each class of assets the amounts of impairment losses and reversals of impairment losses recognised in the period and where those are recognised on the financial statements.
Disclosures about long-lived assets appear throughout the financial statements: in the balance sheet, the income statement, the statement of cash flows, and the notes.
The statement of cash flows reflects acquisitions and disposals of fixed assets in the investing section. In addition, when prepared using the indirect method, the statement of cash flows typically shows depreciation expense (or depreciation plus amortisation) as a line item in the adjustments of net income to cash flow from operations.
