TAILIEUCHUNG - Lecture Accounting (6th edition): Chapter 9 - Kimmel, Weygandt, Kieso

Chapter 9 - Reporting and analyzing long-lived assets. This chapter’s objectives are to: Explain the accounting for plant asset expenditures, apply depreciation methods to plant assets, explain how to account for the disposal of plant assets,. | Reporting and Analyzing Long-Lived Assets Kimmel ● Weygandt ● Kieso Accounting, Sixth Edition 9 Apply depreciation methods to plant assets. CHAPTER OUTLINE Explain the accounting for plant asset expenditures. 1 2 LEARNING OBJECTIVES Explain how to account for the disposal of plant assets. 3 Identify the basic issues related to reporting intangible assets. 4 Discuss how long-lived assets are reported and analyzed. 5 Referred to as property, plant, and equipment; plant and equipment; and fixed assets. physical substance (a definite size and shape), are used in the operations of a business, are not intended for sale to customers, are expected to provide service to the company for a number of years, except for land. Plant assets are resources that have LEARNING OBJECTIVE Explain the accounting for plant asset expenditures. 1 LO 1 Plant assets are critical to a company’s success. PLANT ASSETS ILLUSTRATION 9-1 Percentages of plant assets in relation to total assets LO 1 Historical Cost Principle Requires that companies record plant assets at cost. Cost consists of all expenditures necessary to acquire an asset and make it ready for its intended use. Revenue expenditure – costs incurred to acquire a plant asset that are expensed immediately. Capital expenditures - costs included in a plant asset account. THE COST OF PLANT ASSETS LO 1 Cost is measured by the cash paid in a cash transaction or the cash equivalent price paid. Cash equivalent price is the fair value of the asset given up or fair value of the asset received, whichever is more clearly determinable. INTERNATIONAL NOTE IFRS is flexible regarding asset valuation. Companies revalue to fair value when they believe this information is more relevant. THE COST OF PLANT ASSETS LO 1 Land All necessary costs incurred in making land ready for its intended use increase (debit) the Land account. Costs typically include: cash purchase price, closing costs such as title and attorney’s fees, real estate brokers’ commissions, .

• Kế toán - Kiểm toán
• Lecture Accounting
• Financial statements
• Business organization
• Accounting information
• Analyzing long lived assets
• Plant asset expenditures
• Financial accounting
• Lecture Financial accounting
• Management accounting
• Accounting standards
• Accounting equation
• Intermediate accounting
• Lecture Intermediate accounting
• Accounting process
• Accounting processing cycle
• Managerial accounting
• Accounting principles
• Fundamental accounting principles
• Lecture Fundamental accounting principles
• Merchandising operations
• Lecture Accounting 1
• Accounting for main transactions
• Accounting for purchases
• Accounting for sales
• Accounting for expenses
• Principle of accounting
• Lecture Principle of accounting
• The basic accounting equation
• Transaction analysis in accounting equation
• Calculate the accounting equation
• Lecture Advanced financial accounting
• Bài giảng Kế toán tài chính nâng cao
• Advanced financial accounting
• Accounting policies
• Accounting estimate
• Retrospective application
• Changes in accounting estimates
• Retrospective restatements
• Accounting assumptions
• Lecture Management accounting
• Bài giảng Kế toán quản trị
• Nature of management accounting
• Component of accounting system
• Financial system
• Lecture Accounting and financial system
• Ledger accounting
• Trial balance
• Completing the accounting cycle
• Accounting cycle
• Accounting worksheet
• Classified balance sheet
• Accounting changes
• Error corrections
• Accounting choices
• Accounting for business
• Lecture Accounting for business
• Accounting entity
• Classification of assets
• Accounting equation transactions