Club Assets.

[davidk65]

I belong to a private sports club.
The club has a clubhouse which is built on land that is also owned by the club.
Each year the value of the assets are shown in the clubs balance sheets, but it is always the same value. Is this correct?

[Cloverjo]

I suppose the club wouldn't know by how much the worth had gone up unless they tried to sell it. They have no need to get a new estimation so put the same value down each year.

[Prudie]

Maybe they think any small increase in land value is offset by the depreciation in the buildings.

[FredPuli43]

That's accountancy for you. I once had a garage which was shown in the accounts as having a fixed asset value of £20,000. Well, that was true in 1950 or whenever that valuation was made, but certainly not at the time I had it. The figure had been repeated every year since. When I queried this, the accountant said it didn't matter . I expect your club is the same.