Recognition of an asset retirement obligation and shortened useful lives following a plant relocation
First written in FY2018-Q3. 1 of 2 entries say "Achieved", first in FY2019. Latest entry: FY2019.
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- FY2019AchievedAnnual report
「資産除去債務の履行による減少 25,000 千円 期末残高 ―」
工場移転に伴い計上された2,500万円の資産除去債務が履行され、通期末残高はゼロとなった。 - FY2018-Q3First statedAnnual report
「During the third quarter consolidated accounting period, following the decision to relocate to the head-office plant to improve productivity, it became possible to reasonably estimate the usage period of the leased assets and the timing of fulfilling the restoration obligation. Accordingly, the useful lives of fixed assets that will become unusable were shortened, and an asset retirement obligation of ¥25 million related to restoration upon vacating the premises was recognized in other current liabilities. As a result of this change in estimate, operating profit, ordinary profit and income before income taxes for the third quarter cumulative period each decreased by ¥14.65 million.」
The relocation decision made it possible to estimate the usage period and restoration timing, resulting in shorter useful lives for fixed assets and recognition of a ¥25 million asset retirement obligation. The change in estimate reduced operating profit, ordinary profit and income before income taxes by ¥14.65 million each.