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Capital Equipment Requisition Form Andrews

Capital Equipment Requisition Form Andrews

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Instructions and help about Capital Equipment Requisition Form Andrews

in this video we're gonna talk about the cost that are capitalized when a firm acquires property plant and equipment so you might be thinking hey whatever the cost is of a building or of a piece of land or equipment let's say it's eight hundred dollars for a piece of equipment that cost is what's going to become the assets value when we record that piece of equipment on the balance sheet and you'd be right but you can't neglect other costs for example let's say there was 50 dollars in shipping and handling to get this machine to your firm then the amount that you're gonna initially record on the balance sheet is actually going to be 850 dollars so you don't just include the purchase price that's certainly part of it but you also include the shipping and handling and there are a lot of different types of costs that can be involved with property plant and equipment when you acquire PP&E and so I just

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