If an expenditure is capitalized, is such expenditure ever expensed? If so, how?
Please give positive ratings so I can keep answering. It would help me a lot. Please comment if you have any query. Thanks! |
If an expenditure is capitalized, is such expenditure ever expensed? If so, how? |
Yes, if an expenditure is capitalized then such expenditure is expensed over the life of the asset capitalized. |
It is called depreciation or amortization. |
Depreciation is charged on tangible assets. Different types of method are used like straight line, declining balance, double declining balance, units of activity method depending upon the nature of asset. |
Amortization is charged on intangible assets. |
Get Answers For Free
Most questions answered within 1 hours.