08-05-2011, 03:33 PM
All additions, renovations and repairs to capital assets that increase the economic
benefits of the assets should be capitalized. R
Routine costs incurred to maintain the asset in its operating condition are expensed and not included in the Fixed Asset Accounting and Control System (FAACS).
For Example. False ceiling, wooden partition etc. all should be capitalized as it adds economic benefit to the business, though the building is not owned by the organization.
benefits of the assets should be capitalized. R
Routine costs incurred to maintain the asset in its operating condition are expensed and not included in the Fixed Asset Accounting and Control System (FAACS).
For Example. False ceiling, wooden partition etc. all should be capitalized as it adds economic benefit to the business, though the building is not owned by the organization.