which of the following is not properly classified as property, plant, and equipment? course hero

by Mr. Tom Hane PhD 9 min read

Which of the following should not be classified as property, plant, and equipment?

Correct Answer : Option (B) Goodwill is not classified as Property, Plant, and Equipment. It is an intangible asset.

What are the four subdivisions of plant assets?

The four main categories of plant assets are equipment, land, buildings, and improvements.Jul 15, 2020

What are the major characteristics of property, plant, and equipment assets?

The major characteristics of property, plant, and equipment are: (1) They are acquired for use in operations and not for resale. (2) They are long-term in nature and usually subject to depreciation. and (3) They possess physical substance.

Is equipment a plant asset?

Examples of plant assets Useful assets that serve your business sufficiently are generally the items you can place in this category. Here are some examples of plant assets: Machinery and equipment.Feb 22, 2021

What are plants assets?

Plant assets are a group of assets used in an industrial process, such as a foundry, factory, or workshop. These assets are a subset of the fixed assets classification, which includes such other asset types as vehicles, office equipment, and intangible assets.May 16, 2017

What is considered property, plant, and equipment?

Property, plant, and equipment (PP&E) are a company's physical or tangible long-term assets that typically have a life of more than one year. Examples of PP&E include buildings, machinery, land, office equipment, furniture, and vehicles. Companies list their net PP&E on their financial statements.

How do you identify property, plant, and equipment?

The cost of an item of property, plant and equipment is recognised as an asset if, and only if:it is probable that future economic benefits associated with the item will flow to the entity; and.the cost of the item can be measured reliably.

Which of the following is considered property, plant, and equipment on a classified balance sheet?

Which of the following is considered property, plant, and equipment on a classified balance sheet? Land. Current liabilities are $10,000, long-term liabilities are $20,000, common stock is $50,000, and retained earnings totals $70,000.

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