We appreciate your visit to Your friend Pete owns a small business and is unsure how to treat fully depreciated assets on his company s balance sheet What advice should. This page offers clear insights and highlights the essential aspects of the topic. Our goal is to provide a helpful and engaging learning experience. Explore the content and find the answers you need!
Answer :
You must continue to disclose the assets and their accumulated depreciation on the balance sheet even after the assets have fully depreciated in order to show that they are still in use.
The accumulated depreciation of an asset can never exceed its cost, thus you must be careful not to incur any further depreciation on them.
A fully depreciated asset is one that solely has a salvage value for accounting purposes. Examples of such assets are properties, plants, and equipment (PP&E). If an asset is capitalized, a depreciation plan is used to write down the cost of the asset over a specified period of time. Theoretically, this provides a more accurate evaluation of the actual expenses associated with maintaining the business's operations.
To know more about Depreciated assets :
https://brainly.com/question/14414821
#SPJ4
Thanks for taking the time to read Your friend Pete owns a small business and is unsure how to treat fully depreciated assets on his company s balance sheet What advice should. We hope the insights shared have been valuable and enhanced your understanding of the topic. Don�t hesitate to browse our website for more informative and engaging content!
- Why do Businesses Exist Why does Starbucks Exist What Service does Starbucks Provide Really what is their product.
- The pattern of numbers below is an arithmetic sequence tex 14 24 34 44 54 ldots tex Which statement describes the recursive function used to..
- Morgan felt the need to streamline Edison Electric What changes did Morgan make.
Rewritten by : Barada