PPE

Question 1

Carrying amount aka

Answer 1

net book value

Question 2

amortization vs depreciation

Answer 2

amortization - intangible asset

depredation - tangible assets

Question 3

Direct applicability of PPE costs rule

Answer 3

Necessary costs are part of cost of asset
site prep

Land Improvements are NOT part of cost
pavement of parking lot

Question 4

When:

Straight line method
Unit-of-Production
Double-declining-balance

Answer 4

Constant Pattern of consumption
Wears out because of physical use
Generates more revenue at beginning