Change to the Straight-Line Method for Depreciating Building Improvements and Structures
First written in FY2017-Q1. 1 of 3 entries say "Advanced", first in FY2019-Q1. Latest entry: FY2019.
The whole theme swung hardest in 2024: 2 of 17 companies on the "Worse" side.
- FY2019AchievedAnnual report
「The company and its major domestic consolidated subsidiaries had traditionally depreciated property, plant and equipment primarily using the declining-balance method, but changed some property, plant and equipment to the straight-line method from the current fiscal year.」
The change from the declining-balance method to the straight-line method for some property, plant and equipment was applied from the fiscal year, increasing operating profit by ¥12,898 million. - FY2019-Q1AdvancedAnnual report
「The company and its major domestic consolidated subsidiaries had traditionally depreciated property, plant and equipment primarily using the declining-balance method, but changed some property, plant and equipment to the straight-line method from the first quarter of the current fiscal year.」
In addition to the previous change concerning building fixtures and structures, the company changed the depreciation method for some property, plant and equipment from the declining-balance method to the straight-line method. The reasons cited in relation to actual usage were the continued introduction of vehicle models and the broader applicability of production equipment across multiple models. - FY2017-Q1First statedAnnual report
「The company applied the Practical Treatment on Changes in Depreciation Methods Related to the 2016 Tax Reform (Practical Response Report No. 32, 17 June 2016) in the first quarter of the current fiscal year, changing the depreciation method for building fixtures and structures acquired on or after 1 April 2016 from the declining-balance method to the straight-line method.」
Following the tax reform, the depreciation method for building fixtures and structures acquired on or after 1 April 2016 was changed from the declining-balance method to the straight-line method. The impact on the quarterly consolidated financial statements was described as immaterial.