BUS 320 Lecture Notes - Lecture 9: Capital Asset, Book Value, Interest Rate

• School: Simon Fraser University
• Department: Business Administration
• Course: BUS 320
• Professor: Maureen Fizzel

Document Summary

Long-lived assets acquired for use in the revenue producing activities of the company. Held for use in sales of goods, rendering of service, rental, or administration purpose. Acquired to use on a continued basis. Not intended for sale in the ordinary course of business. Cash or cash equivalent price of obtaining the asset and getting it ready to use o o o. Cost of permits: machinery and equipment o o o o. Special platforms, foundations, or other required installation costs. Cost of driveways, parking lots, fences, landscaping, sidewalks, and other structures changes to the land. Property held to generate revenues through rental and/or increase in value. Cost determined similar to property, plant, and equipment (pp&e) Can be held at cost or fair value. Wasting assets (oil, gas, forests, and mines, etc. ) Revalue at fair value less cost to sell at each reporting period o. Sum of expenditures, which is related to its constructions.