Describe the acquisition cost of a plant asset.

Question

Want to see more full solutions like this?

Answer 1

Question

Chapter 9, Problem 1SSQ

To determine

Describe the acquisition cost of a plant asset.

Expert Solution & Answer

Answer to Problem 1SSQ

The reasonable and necessary costs incurred to prepare the asset for its intended use.

Explanation of Solution

Acquisition Cost:

Acquisition cost is the total cost (any cash expensed to prepare the asset for its intended use) of the asset incurred to obtain an asset. Acquisition cost is also called as historical cost or original cost.

Plant Assets:

Plant assets are the long-term assets used by the company, which have physical existence, and can be seen, touched and felt. Some of the examples of the plant assets include equipment, buildings, furniture and fixtures, plant, property, and land.

From the above explanation it is clear that option (a), (b) and (d) are incorrect, only option (c) is correct.

Conclusion

Therefore, the correct answer is option c.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Students have asked these similar questions

What would a 5-year projection for a startup Accounting Firm business look like? Include units, dollars, and assumptions in the projection. How would a startup Accounting Firm present the sales projection in a narrative that includes the description of the units you plan to sell, the services (amount of them) you plan to provide, and your growth projections of these numbers? When will a startup Accounting Firm start making a profit and have the break-even point?

None

Kindly help me with general accounting question

Answer 2

Question

Chapter 9, Problem 1SSQ

To determine

Describe the acquisition cost of a plant asset.

Expert Solution & Answer

Answer to Problem 1SSQ

The reasonable and necessary costs incurred to prepare the asset for its intended use.

Explanation of Solution

Acquisition Cost:

Acquisition cost is the total cost (any cash expensed to prepare the asset for its intended use) of the asset incurred to obtain an asset. Acquisition cost is also called as historical cost or original cost.

Plant Assets:

Plant assets are the long-term assets used by the company, which have physical existence, and can be seen, touched and felt. Some of the examples of the plant assets include equipment, buildings, furniture and fixtures, plant, property, and land.

From the above explanation it is clear that option (a), (b) and (d) are incorrect, only option (c) is correct.

Conclusion

Therefore, the correct answer is option c.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 3

Question

Chapter 9, Problem 1SSQ

To determine

Describe the acquisition cost of a plant asset.

Expert Solution & Answer

Answer to Problem 1SSQ

The reasonable and necessary costs incurred to prepare the asset for its intended use.

Explanation of Solution

Acquisition Cost:

Acquisition cost is the total cost (any cash expensed to prepare the asset for its intended use) of the asset incurred to obtain an asset. Acquisition cost is also called as historical cost or original cost.

Plant Assets:

Plant assets are the long-term assets used by the company, which have physical existence, and can be seen, touched and felt. Some of the examples of the plant assets include equipment, buildings, furniture and fixtures, plant, property, and land.

From the above explanation it is clear that option (a), (b) and (d) are incorrect, only option (c) is correct.

Conclusion

Therefore, the correct answer is option c.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 4

Question

Chapter 9, Problem 1SSQ

To determine

Describe the acquisition cost of a plant asset.

Expert Solution & Answer

Answer to Problem 1SSQ

The reasonable and necessary costs incurred to prepare the asset for its intended use.

Explanation of Solution

Acquisition Cost:

Acquisition cost is the total cost (any cash expensed to prepare the asset for its intended use) of the asset incurred to obtain an asset. Acquisition cost is also called as historical cost or original cost.

Plant Assets:

Plant assets are the long-term assets used by the company, which have physical existence, and can be seen, touched and felt. Some of the examples of the plant assets include equipment, buildings, furniture and fixtures, plant, property, and land.

From the above explanation it is clear that option (a), (b) and (d) are incorrect, only option (c) is correct.

Conclusion

Therefore, the correct answer is option c.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 5

Chapter 9, Problem 1SSQ

To determine

Describe the acquisition cost of a plant asset.

Expert Solution & Answer

Answer to Problem 1SSQ

The reasonable and necessary costs incurred to prepare the asset for its intended use.

Explanation of Solution

Acquisition Cost:

Acquisition cost is the total cost (any cash expensed to prepare the asset for its intended use) of the asset incurred to obtain an asset. Acquisition cost is also called as historical cost or original cost.

Plant Assets:

Plant assets are the long-term assets used by the company, which have physical existence, and can be seen, touched and felt. Some of the examples of the plant assets include equipment, buildings, furniture and fixtures, plant, property, and land.

From the above explanation it is clear that option (a), (b) and (d) are incorrect, only option (c) is correct.

Conclusion

Therefore, the correct answer is option c.

Answer 6

Chapter 9, Problem 1SSQ

To determine

Describe the acquisition cost of a plant asset.

Expert Solution & Answer

Answer to Problem 1SSQ

The reasonable and necessary costs incurred to prepare the asset for its intended use.

Explanation of Solution

Acquisition Cost:

Acquisition cost is the total cost (any cash expensed to prepare the asset for its intended use) of the asset incurred to obtain an asset. Acquisition cost is also called as historical cost or original cost.

Plant Assets:

Plant assets are the long-term assets used by the company, which have physical existence, and can be seen, touched and felt. Some of the examples of the plant assets include equipment, buildings, furniture and fixtures, plant, property, and land.

From the above explanation it is clear that option (a), (b) and (d) are incorrect, only option (c) is correct.

Conclusion

Therefore, the correct answer is option c.

Answer 7

Chapter 9, Problem 1SSQ

To determine

Describe the acquisition cost of a plant asset.

Answer 8

Expert Solution & Answer

Answer to Problem 1SSQ

The reasonable and necessary costs incurred to prepare the asset for its intended use.

Answer 9

Expert Solution & Answer

Answer 10

Expert Solution & Answer

Answer 11

Explanation of Solution

Acquisition Cost:

Acquisition cost is the total cost (any cash expensed to prepare the asset for its intended use) of the asset incurred to obtain an asset. Acquisition cost is also called as historical cost or original cost.

Plant Assets:

Plant assets are the long-term assets used by the company, which have physical existence, and can be seen, touched and felt. Some of the examples of the plant assets include equipment, buildings, furniture and fixtures, plant, property, and land.

From the above explanation it is clear that option (a), (b) and (d) are incorrect, only option (c) is correct.