0
Deposits are usually held for more than one year so dont fall into the category of current assets.
Wiki User
∙ 14y ago
Add your answer:
Earn +20 pts
Is livestock PART OF fixed assetS?
Yes livestock are fixed assets
Where do you place goodwill in a balance sheet?
On the Asset side after Current Assets & Fixed Assets. It forms part of OTHER NON - CURRENT ASSETS as,Intangible Assets (patents, good will, preliminary Expenses, bad / doubtful debts not provided for, etc.
What is the difference between tangible assets and intangible assets?
We can feel tangible asset,where as we cannot feel intangible asset
What are the reasons for providing depreciation?
Main reason for prodiving depreciation is to allocate the part of cost of fixed assets to specific fiscal year to income statement as expense in which year fixed asset is used to generate revenue for business.
Why are assets listed before fixed assets on a balance sheet?
Assets are listed in order of liquidity, or how quickly they can be converted into cash. Fixed Assets (Land, Buildings, Machinery, etc.) take longer to sell than stocks and bonds. Accounts Receivable will turn into cash in 30 days (for the most part) etc. Inventory will turn over several times in a year. The assets listed first are "Current Assets" - things that wil be used within the fiscal year. Fixed Assets have a longer life. This is similar to Current Liabilities (amounts due within 12 months) and Long-term Liabilities (amounts due beyond 12 months).
Is livestock PART OF fixed assetS?
Yes livestock are fixed assets
Are repairs on a vehicle considered a fixed asset?
If repair improves the performance of fixed assets and massive improvement then it is part of fixed assets otherwise revenue expense.
What is depreciation of fixed assets?
Depreciation is the method of allocation of part of cost to all fiscal years to which fixed asset is used for revenue generation to income statement
How do you verify fixed assets?
Fixed Assets are verified as a part of a complete audit which is advisable to do on a yearly basis. A full inventory not only of product but also of fixtures must be done as a part of this process.
Does purchasing a fixed assets fall into a operating activity?
Purchasing of fixed asset is not a part of operating activity instead of that it is part of cash flows from financing activities in cash flow statement.
Where do you place goodwill in a balance sheet?
On the Asset side after Current Assets & Fixed Assets. It forms part of OTHER NON - CURRENT ASSETS as,Intangible Assets (patents, good will, preliminary Expenses, bad / doubtful debts not provided for, etc.
What is the difference between tangible assets and intangible assets?
We can feel tangible asset,where as we cannot feel intangible asset
Is depreciation on an income statement?
Yes depreciation is part of income statement which is used to allocate the portion of cost of fixed assets to fiscal year in which that fixed asset is used.
What are the reasons for providing depreciation?
Main reason for prodiving depreciation is to allocate the part of cost of fixed assets to specific fiscal year to income statement as expense in which year fixed asset is used to generate revenue for business.
Do you include land in the income statement?
Land is an asset and fixed or long term asset of business and all assets and liabilities are part of balance sheet and not part of income statement so land is shown under long term assets in balance sheet.
Why are assets listed before fixed assets on a balance sheet?
Assets are listed in order of liquidity, or how quickly they can be converted into cash. Fixed Assets (Land, Buildings, Machinery, etc.) take longer to sell than stocks and bonds. Accounts Receivable will turn into cash in 30 days (for the most part) etc. Inventory will turn over several times in a year. The assets listed first are "Current Assets" - things that wil be used within the fiscal year. Fixed Assets have a longer life. This is similar to Current Liabilities (amounts due within 12 months) and Long-term Liabilities (amounts due beyond 12 months).
What are the three reasons why depreciation occur?
Depreciation is the process of allocating the cost of a fixed asset (less residual value) over its estimated useful life in a rational and systematic manner. Depreciation can occur due to wear and tear, usage, effluxion of time, obsolescence through technology, market changes and inadequacy.
