Identify events that might lead to disposal of a plant asset.

Q: Identify the costs associated with the initial valuation of a developed natural resource.

A: Natural resources: Natural resources are known as wasting assets. It consists of standing timber and…

Q: When an item of property, plant, and equipment is disposed of, how is gain or loss on disposal…

A: When an item of property, plant and equipment is disposed of, then gain or loss is determined by…

Q: Describe the accounting treatment for the disposal of property, plant, and equipment.

A: Property, plant and equipment:   Property, plant and equipment are the tangible assets which are…

Q: Identify the various costs included in the initial cost of property, plant, and equipment, natural…

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Q: Understand accounting issues related to acquiring and valuing plant assets.

A: Following are the accounting issues that are related to acquiring and valuing plant assets: a)  Cash…

Q: Explain the accounting procedures for depletion of natural resources.

A: Depletion: It refers to the process of proportionately distributing the cost of the extracting…

Q: How can be Preservation and Maintenance of the Property can be done?

A: Preservation and Maintenance of Property can be done as follows: The borrower of the property…

Q: Describe how property, plant, and equipment disposal is accounted for

A: Property, plant, and equipment disposal is accounted will be explained :

Q: valuation assertion for property, plant,

A: Option B is wrong because by touring the hotel for unused to equipment will provide data only…

Q: What are plant assets?

A: Solution:- Plant assets means as follows under:-

Q: Define property, plant, and equipment. Provide some examples.

A: Fixed Assets:It refers to the long-term assets having a useful life of more than a year which is,…

Q: What characteristics of a plant asset make it different from other assets?

A: Assets means anything which will enable a business enterprise to get cash or benefit in…

Q: How should intangible assets and property, plant, and equipment (PP&E) be treated when their service…

A: The Answer

Q: Which of the following is not a major characteristic of a plant asset? Possesses physical substance…

A: An asset is a resource with economic value that a firm controls in lieu of that it will provide a…

Q: Identify situations that involve a significant impairment of the value of property,plant, and…

A: An asset is said to be impaired when the recoverable amount of a asset is less than its carrying…

Q: Should the engineers be able to assess the reality of depreciating fixed assets?

A: A company should assess the position of its fixed asset and check for its impairment if condition…

Q: Why is there a need to properly classify a property whether it is an investment or a property, plant…

A: Before making application treatment on property needs to be classification  It will makes proper…

Q: Explain the appropriate treatment required when an error in accounting for property, plant, and…

A: Definition:   Assets: These are the resources owned and controlled by business and used to produce…

Q: Explain the concept of VALUE IN USE. Why can it be a basis for recoverable amount of an item of…

A: Value in use means the asset’s net worth for the present time. Value in use is used to take decision…

Q: Differential analysis can aid management in making decisions on a variety of alternatives, including…

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Q: How can I compute the acquasition of plant assets?

A: The acquisition cost incurred on a plant asset is the cost expended to acquire and place the asset…

Q: What is important for a MACRS to consider at the time of disposal?

A: MACRS stands for Modified Accelerated Cost Recovery System. These are the regulations of…

Q: For what reasons are plant assets retired? Define inadequacy,supersession, and obsolescence.

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Q: Distinguish between property, plant, and equipment and intangible assets.

A: Definition: Property, plant, and equipment: Property, plant, and equipment are the tangible assets…

Q: Which of the following is not a major characteristic of a plant asset? Long-term in nature Possesses…

A: We should first understand the meaning of plant asset first. Plant asset is also known as property,…

Q: What methed is used in the Evaluation Phase of intangible assets.

A: Intangible Asset An intangible assets is an asset that's not physical in nature. Goodwill, brand…

Q: Explain what is meant by the impairment of the value of property, plant, and equipment and…

A: Property, Plant, and Equipment:  Property, Plant, and Equipment refers to the fixed assets, having a…

Q: Explain the concept of cost allocation as it pertains to property, plant, and equipment and…

A: Property, Plant & Equipment (PPE) includes the following assets namely: Land Plant and Building…

Q: describe the nature of the assets that compose the following categories: (a) current asset, (b)…

A: In Chart of Accounts we prepare for Current Asset and Non Current Asset. Current Asset consist Cash,…

Q: Explain the process of ‘impairment of an asset’ and its definition? Explain how to account for an…

A: Impairment of assets means reducing the cost of assets when carrying amount is more than value in…

Q: What is meant by the “depreciable cost” of a plant asset?

A: The assets having the life of more than a year can be classified as non-current or plant assets.…

Q: Plant assets are recorded at historical cost. What does the historical cost of a plant asset…

A: Plant assets are recorded at historical cost. Historical cost includes: Asset purchase price,…

Q: Asset disposal

A: Asset is the resources owned by a firm at a particular point of time out of which it is expected…

Q: Describe the impairment of property, plant, and equipment and intangible assets

A: The impairment loss could be considered with the time when the assets is not considered valuable in…

Q: What is the process of allocating the cost of a plant asset over its useful life called?

A: Depreciation:Depreciation is the reduction in the value of an asset over its useful life. An asset…

Q: How is gain or loss determined when disposing of plant assets? What situation constitutes a gain?…

A: Disposal of plant assets, may result in gain or loss.

Q: Demonstrate how to report and analyze property, plant, equipment, and natural resources.

A: Asset: It refers to the sum total of the economic value of all the resources owned by the company.…

Q: Explain how to report and analyze property, plant, equipment, and natural resources.

A: Asset: It refers to the sum total of the economic value of all the resources owned by the company.…

Q: Describe the methods used for computing depletion.

A: Depletion is mainly used for natural assets/resources like pool & gas, minerals etc. Depletion…

Q: Explain the accounting issues related to acquiring and valuing plant assets.

A: Following are the accounting issues that are related to acquiring and valuing plant assets: a)  Cash…

Q: Property plant and equipment are considered what type of asset?

A: basically classification of asset is done based on the nature of the asset .there are two types of…

Q: Examine the variables that affect the assessment of a depreciable asset's service life

A: This question tells about the variables that affect the assessment of a depreciable asset's service…

Q: Define Property, plant, and equipment

A: property, plant and equipment: they are company's physical or tangible long term assets.

Q: How is the discarding of a plant asset different from selling a plant asset?

A: Plant asset: Plant assets are buildings, equipment, machinery and other assets. These assets are…