--%>

Historical Cost of Fixed Assets

What are the Historical Cost of Fixed Assets?

E

Expert

Verified

Historical Cost of Fixed Assets:

Historical cost of any fixed asset will be computed with the following formula.

Purchase price or construction Cost + Direct Expenses for bringing fixed asset in operation + Cost of borrowing to Finance similar Asset buying or construction - Trade Discount

   Related Questions in Financial Accounting

  • Q : Describe the term Operating Expenses

    Describe the term Operating Expenses in business accountancy?

  • Q : What is Account What is Account .

    What is Account. Explain briefly.

  • Q : Capitalization Method for Goodwill

    Capitalization Method: (Goodwill method): In this technique capitalized value of the firm is computed on the basis of normal rate of return. Difference between the capitalized value and real capital employed is termed as goodwill.

  • Q : Balance sheet A listing of the

        A listing of the liabilities, assets, and equity of an entity at a point in time, the end of a month, or quarter, or year. It is one of the four financial statements required in a full financial report. The balance sheet gives the reader what the entity owns (assets)

  • Q : Monetary approach to determine exchange

    Derive and explain monetary approach in order to determine the exchange rate.

  • Q : Accountancy Accountancy is the process

    Accountancy is the process of communicating financial information about a business entity to users such as shareholder and manager. The communication is generally in the form of financial statements that show in money terms the economic resources under the control of management; the art lies in s

  • Q : Define the term Assets Define the term

    Define the term Assets in Accounting?

  • Q : Whether MNC open their manufactoring

    For most global companies, China symbolizes a very attractive market in terms of size and growth-rate. Yet, it ranks lower in words of economic freedom and higher in political risk than other countries' markets because it has a communist government. Despite such risks

  • Q : Closed-end country funds Write some of

    Write some of the advantages and disadvantages of closed-end country funds (CECFs) with respect to the American Depository Receipts (ADRs) as means of the international diversification.

  • Q : Matlab Applications in Digital Signal

    Digital signal processing appears like a nightmare for students as it is most difficult and tricky subject in engineering core curriculum. If you are getting troubles in digital signal processing assignment or related project, then move