A Ltd. purchased some Property, Plant and Equipment on 1st April, 20X1, and estimated their useful lives for the purpose of financial statements…

A Ltd. purchased some Property, Plant and Equipment on 1st April, 20X1, and estimated their useful lives for the purpose of financial statements prepared on the basis of Ind AS. Following were the original cost, and useful life of the various components of property, plant, and equipment assessed on 1st April, 20X1: Property, Plant and Equipment Original Cost Estimated useful life Buildings 15,000,000 15 years Plant and machinery 10,000,000 10 years Furniture and fixtures 3,500,000 7 years A Ltd. uses the straight-line method of depreciation. On 1st April, 20X4, the entity reviewed the following useful lives of the property, plant, and equipment through an external valuation expert: Buildings 10 years Plant and machinery 7 years Furniture and fixtures 5 years There were no salvage values for the three components of the property, plant, and equipment either initially or at the time the useful lives were revised. Examine the impact of revaluation of useful life on the Statement of Profit and Loss for the year ending 31st March, 20X5. (6 Marks)