Capitalized Interest Cost

Capitalized borrowing costs are those added to the cost of acquiring an asset to bring it to the condition and location necessary for its intended use.

Capitalized Interest Cost November 13th, 2017Team
Read more

Lump Sum Purchase Calculator

This Excel basket purchase allocation calculator can allocate the total cost of a lump sum purchase over a maximum of 12 assets based on their relative fair market value.

Lump Sum Purchase Calculator August 11th, 2017Team
Read more

Relative Fair Value Method

When a business purchases an asset which includes several assets such as land, land improvements, and buildings which have dissimilar depreciation rates, it needs to be able to allocate the total cost of the asset to its component parts. The relative fair market value method is one technique used to carry out this allocation.

Relative Fair Value Method August 9th, 2017Team
Read more

Capital Improvements After Asset Acquisition

Accounting distinguishes between capital improvements and repairs and maintenance to an asset. A capital improvement is treated as a capital cost and included on the balance sheet of the business, whereas repairs and maintenance are treated as expenses and included in the income statement for the year.

Capital Improvements After Asset Acquisition June 14th, 2017Team
Read more

Capital and Revenue Expenditure

Capital expenditures and revenue expenditures are treated differently in accounting. Capital expenditure relates to expenditure on non-current assets, whereas revenue expenditure is expenditure relating to the day to day trading activities of the business.

Capital and Revenue Expenditure February 7th, 2017Team
Read more

Excel SLN Function

The Excel SLN function is one of many Excel financial functions, and can be used to calculate the straight line depreciation of a long term asset. It has the syntax SLN (cost, salvage, life).

Excel SLN Function November 6th, 2016Team
Read more

Basket Purchase Allocation

A business will often purchase a number of long term assets for a single combined purchase price. In order to record the assets in the accounting records and to allow depreciation to be correctly calculated, the basket purchase price needs to be allocated in proportion to the fair market value of the assets.

Basket Purchase Allocation November 6th, 2016Team
Read more

Fixed Asset Trade In

When a business purchases a new asset such as a motor vehicle, it is quite common to trade in or part exchange and old asset to satisfy part of the new asset purchase cost.

Fixed Asset Trade In April 9th, 2017Team
Read more

Buy Equipment with Down Payment in Cash

A business buys networking equipment to the value of 12,000 and funds the purchase with a down payment in cash of 3,000 and the balance on credit terms form the supplier of the equipment.

The is recorded using this equipment purchase compound journal entry.

Buy Equipment with Down Payment in Cash November 6th, 2016Team
Read more

Equipment Purchase via Loan Journal Entry

A business purchases equipment to the value of 10,000 for use in its production facility and pays by means of a business equipment loan.

The is recorded using this equipment purchase via loan journal entry.

Equipment Purchase via Loan Journal Entry November 6th, 2016Team
Read more

You May Also Like

Related pages

lc irrevocabledirect material cost formulacalculating npv in excellifo equationtimes interest earned calculatoruneven cash flowwhat is consignment in accountingchart of accounts in excelbookkeeping assessment testconsignee vs consignorincome received in advance journal entryeom accountingbank reconciliation exercisesjob costing formulafinancial forecast templatepurchase ledger exampleledger samplesmall business spreadsheetinventory accounting basicsaccounting for vacation accrualan example of an accrued revenue iscalculating a ratio in excelbank reconciliation statement format in excelcalculation of profitability indexaccounting debits and credits examplesgeneral ledger in excelgoods return voucher formathow to calculate operating capitalaccounts payable on trial balanceposting to a general ledgerdefine amortisefuture value of annuity formula calculatordoubling rate equationwhat is the normal balance for accounts receivablepresent value table annuityroyalties accounting treatmentcost markup formulawhat is bills receivable in accountingaccrued expencepetty cash voucher templateavailable for sale securities exampleentry for deferred tax assetrevenue projection templateretained earning net incomefuture annuity formulamonthly debtor days calculation formulahow do you find ending inventorysmall business accounting templates exceldebtors days outstanding formulaunearned revenue examplepercentage of completion journal entriesequity accounting journal entriesperpetual inventory system and a periodic inventory systemsmall business accounting excel templateintangible items examplesprintable accounting formswcr working capitaldividend accrualdebt to equity calculatoraccounting cash receipts journalpv of a lump sumformula markupcalculate accounts receivablesimple excel spreadsheet templatewhat is a suspense account on balance sheethow to calculate cogs from income statementdifference between margin and markupexcel spreadsheet for accounting of small businessissuance price of bond calculatorcredit memo accounting entrycash to accrual conversion examplewhat are depreciation expensesunderapplied overheaddiscounted cash flows in excelcompound and simple interest formulasprepaid expenses entry in tallygross margin percentage formulaaccrual double entry