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No
Alternate answer:Expenditures that result in a higher capacity or longer economic lifetime of the equipment is considered an asset, and is allocated over the remaining economic lifetime.On the other hand, expenditures for repairs, maintenance, cleaning, etcetera that do not increase the capacity are expensed as incurred. Hence, yes, repairs on office equipment is a period cost.
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Is depreciation on office equipment classified as a period cost or product cost?
period cost
Is depreciation on factory equipment a period cost?
It's a Product cost. Think Selling (Store) and Administrative(Office) cost for period cost. The machines are in the factory.
Is factory equipment product or period cost?
It is period cost
Is depreciation of administrative equipment product cost or period cost?
Depreciation of administrative equipment is period cost because if production is done or not those assets will be depreciated hence cost will be charged as period cost.
What is the Acccounting entry for Office Equipment at Cost?
if we bought i unit computer the entry is DR - - - - Equipment at cost Cr ------------------------------------------ Cash in Bank
Is depreciation on office equipment classified as a period cost or product cost?
period cost
Is depreciation on factory equipment a period cost?
It's a Product cost. Think Selling (Store) and Administrative(Office) cost for period cost. The machines are in the factory.
Is factory equipment product or period cost?
It is period cost
Is depreciation of administrative equipment product cost or period cost?
Depreciation of administrative equipment is period cost because if production is done or not those assets will be depreciated hence cost will be charged as period cost.
Is rent on equipment period or product cost?
If equipment is still kept whether production done or not then it is period cost as no matter production done or not it has to be paid.
Where can you purchase refurbished office equipment?
"Many appliance stores, and furniture stores will allow you to purchase refurbished office equipment for a discounted price. Refurbished office equipment tends to cost a lot less than new equipment."
What is the Acccounting entry for Office Equipment at Cost?
if we bought i unit computer the entry is DR - - - - Equipment at cost Cr ------------------------------------------ Cash in Bank
What cost containment strategies can be devised and implemented in an organisation?
Equipment Maintenance Management Programs (EMMP)! Save 10 - 25% on electronic equipment maintenance and repairs.
Is supplies for administrative office classified as period cost of product cost?
Supplies for an administrative office would be classified office supplies, which is always treated as a cost of a period. Supplies for a manufacturing company would be classified as a product cost, i.e. wood (supply) in order to make desks (end product).
What is the cost for repairs for cars?
That depends entirely on the nature of the repairs, and the cost of parts.
Where can I find a kitchen repair service?
You might want to consider buying new equipment. Repairs will just cost you more in the long run.
What are three maintenance procedures for office equipment?
Each piece of office equipment requires periodic preventative or planned maintenance to avoid failures, corrective maintenance to rectify faulty equipment, and sometimes software updates or consumable replacements over the course of time in order to keep it in working condition. If equipment is broken, employees cannot properly perform their job functions and productivity slows down or even stops. As a result, the equipment must be repaired properly, in a timely and cost effective manner. There are a few options to choose from to ensure this happens. Manufacturers offer maintenance agreements on their equipment to deal with the financial uncertainty associated with equipment maintenance and repair. In exchange for a fixed annual fee, the manufacturer will bear the financial risk and handle the equipment maintenance and repairs. Maintenance agreements cover equipment for a certain time period, which should be clearly identified in the agreement. In the absence of a maintenance agreement, an equipment owner can elect to pay for repairs on a time & materials basis (T&M); this means that the owner pays for parts, labor, and travel on an as-needed basis. However, several closely spaced equipment failures can severely impact a company's cash flow.
