| Chapter 9 | Plant Assets, Natural Resources, and Intangible Assets |
Learning Objectives
After studying this chapter, you should be able to:
1 Describe how the historical cost principle applies to plant assets.
2 Explain the concept of depreciation and how to compute it.
3 Distinguish between revenue and capital expenditures, and explain the entries for each.
4 Explain how to account for the disposal of a plant asset.
5 Compute periodic depletion of extractable natural resources.
6 Explain the basic issues related to accounting for intangible assets.
7 Indicate how plant assets, natural resources, and intangible assets are reported.
Feature Story
How Much for a Ride to the Beach?
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Any company that relies on equipment to generate revenues must ...
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