Question

wich of the following expenses are NOT added the cost of fixed asset.?​

Answer 1

Answer:

Loss on sale of fixed assets will not appear in cost accounting. Debit cash for the amount received, debit all accumulated depreciation, debit the loss on sale of asset account, and credit the fixed asset.

Answer 2

Answer:

Loss on sale of fixed assets will not appear in cost accounting.

Explanation:

The administration and general overhead costs are not assigned to a fixed asset. Costs incurred after an asset is prepared for use, but has not been used or isn't yet operating at full capacity.

Costs incurred that aren't necessary to bring the asset to the location and condition necessary for it to operate.

• Initial operating losses

• New customer acquisition costs

• New facility opening costs

• New product or service introduction costs

• Relocation or reorganization costs

Do not recognize as a fixed asset the ongoing costs of servicing a fixed asset, which usually includes maintenance labor, consumables, and minor maintenance parts. These costs should instead be charged to expense as incurred.

#SPJ3