Table of Contents

8.13.3 Future economic benefits

Future economic benefits to an entity can arise from any of the following (Queensland Treasury 2014):

  • cash flows from future use
  • cash flows from disposal
  • future service potential to the entity
  • cost savings
  • other benefits resulting from use of the asset by the entity.

For infrastructure assets, future economic benefits arise from the entity’s ability to provide services to its customers/community in the future (the asset’s service potential).

For assets of a for-profit entity, the future economic benefits of the asset are its ability to generate future cash flows.