Categories and Presentation Flashcards
1
Q
Need to know:
A
1) What costs are capitalized of the asset
2) How to allocate the cost
3) How to measure impairment
4) Determine how to value non monetary exchange
2
Q
What is the criteria for classifying an asset as a plant asset?
A
1) Currently used in operations
2) Have a useful life of more than one year
3) Have physical substance
3
Q
What is the only asset in PPE that is NOT depreciated?
A
Land
4
Q
What footnotes are required for PPE?
A
What method of depreciation is used?
Table breaking out Land, Building, and Equipment
5
Q
When assets are reclassified to Asset Available for Sale, at what value should it be stated at (i.e. historical, fair value, replacement)
A
It should be recognized at Net Realizable Value (Replacement Cost less the cost to dispose)
