Accounting for Fixed Assets and Depreciation
This chapter will help the readers to:
- Differentiate between operating expenses and capital expenditure.
- Indentify tangible assets and intangible assets.
- Understand the principles involved in ascertaining the cost of acquired assets and selfgenerated assets.
- Appreciate the treatment of expenditure on improvement, repair and maintenance.
- Understand the concept of depreciation, depletion and amortization.
- Apply different methods for calculating depreciation.
- Understand the accounting of sale, exchange and discarding of fixed assets.
- Understand the impact of change in method of depreciation and impairment of assets on the financial statements of a company.
- Identify the issues ...