Fixed assets
This query is : Resolved
16 September 2012
Dear Sir,
How to treat fixed assets. How to select whether it is fixed assets? Suppose if we purchase machinery parts, then can we treat it as a fixed assets? Pls reply
How to treat fixed assets. How to select whether it is fixed assets? Suppose if we purchase machinery parts, then can we treat it as a fixed assets? Pls reply
16 September 2012
if parts enhance the current capacity of machine than it is treated as fixed assets otherwise repair n maintenance
16 September 2012
if such parts does not enhance the machine capacity but if it a vital parts without this parts machine is not able to working
17 September 2012
You can record a cost as a fixed asset when it has a future economic benefit that extends beyond one year from the date of acquisition e.g. a car, a computer, a plant /machinery, building, furniture etc. A part of the machinery which is meant for the repairs purposes wihout changing its economic benefits should be treated as inventory of spares and expensed as maintenance items when it is consumded. Depending the materiality of the item, it may be expensed on purchase itself.
Trust this helps. Happy to take further queries if required.
regards
Trust this helps. Happy to take further queries if required.
regards
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- REGARDING GST ON COMMERICIAL PROPERTY
- Is this income indian or foreign income?
- 15ca /15cb whose income tax login? remitter or nri seller's login?
- RCM applicability on Rent Paid by Registered Person to Unregistered Landlord for Residental Building
- GST on export of services and Input Credit
- ITC temporary reversal and reclaim
- Regarding Documentation & Compliances for Opening of Unit of Pvt Ltd.
- TDS U/S. 194NF
- Applicable TDS rate for sale of property in Nov 2024
- Tds on building rent monthly
- Event company query
- MIS MATCH OF INVOICE NUMBER
- VERIFICATION OF REFUND RELATED
- GST Regis.
- ITC c/f from FY2022-23 to FY2023-24 entered the same in table 8C of GSTR9 of FY 2022-23, in FY23-24
- Late filling fees Demand by gst office
- IGST Credit-Show cause notice issued-confusion
- Short and Excess provision of expenses
- Issue of gst e invoice
- Interchangeable words in accounts
Trending Online Classes
CAclubindia
