In this article we will discuss about the meaning and classification of current assets. Meaning of Current Assets: Current assets are defined as "cash and other assets that are expected to be converted into cash or consumed in the production of goods or rendering of services in the normal course of business". Items are included in current assets on the [...]
AS-10 'Accounting for Fixed Asset' has the following guidelines with regard to fixed asset: Determining the Cost of a Fixed Asset: The gross book value of an asset is the historical cost or the cost at which the asset is actually acquired. According to AS-10 Accounting for Fixed Assets', cost is directly attributable cost of bringing the assets to its [...]
In this article we will discuss about Assets:- 1. Definition of Assets 2. Characteristics of Assets 3. Objectives of Valuation 4. Types. Definition of Assets: Financial accounting has basic elements like assets, liabilities, owners' equity, revenue, expenses and net income (or net loss) which are related to the economic resources, economic obligations, residual interest and changes in them. Similarly, balance [...]