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What is Property, Plant, and Equipment Accounting about?

Property, plant and equipment are tangible assets used in business operations for more than one year. They are initially measured at cost, which includes purchase price and costs to prepare the asset for use. They are subsequently measured using either the cost model (cost less depreciation and impairment) or the revaluation model (fair value less subsequent depreciation and impairment). Gains and losses are recognized when an item is disposed of or no future benefits are expected from its use.

Author

Mjhaye

Language

EN