GeekInterview.com
Series: Subject: Topic:
Question: 2 of 42

Large start up costs, can they be capitalized

Can start up costs associated with getting a new location up and running within your business be capitalized even though they are non-capital items?
Asked by: Marla | Member Since Apr-2012 | Asked on: Apr 10th, 2012

View all questions by Marla

Showing Answers 1 - 1 of 1 Answers
Divakar B

Answered On : Nov 28th, 2012

As per Accounting standard 16 specified by ICAI , Borrowing cost, Interest cost even though non capital in nature which must be capitalized if they incurred for acquisition of Qualifying capital asset, but those cost shall be capitalized only up to the date of commencement of production utilizing such capital asset, Any amount of interest incurred after commencement of production shall not be capitalized and shall be debited to Profit and loss account.

  
Login to rate this answer.

Give your answer:

If you think the above answer is not correct, Please select a reason and add your answer below.

Related Answered Questions

Related Open Questions

User Panel

Register
Login
Lost Password
Get Activation Code

Categories

Accounting Reports

Accounts Payable

Accounts Receivables

Audit

Cashier

Cost Accounting

Fixed Assets

General Ledger

Payroll

Supervisory

Interview Coaching

Have you gone above and beyond your job description?

What do you think about continuous learning?

Do you find yourself busy most of the time? Why?

Careers and Higher Education Options for BBA Graduates

What was the most important decision you ever had to make?

Do you have any questions that you want to ask?

Describe a time when you had to convince a friend ?

What is the role of a mechanical engineer in the Software Industry?

Has anyone asked you for help? What did you do?

Tell me about a skill you recently acquired or improved.

Ads

Connect

twitter fb Linkedin GPlus RSS

Ads

Interview Question

 Ask Interview Question?

 

Latest Questions

Interview & Career Tips

Get invaluable Interview and Career Tips delivered directly to your inbox. Get your news alert set up today, Once you confirm your Email subscription, you will be able to download Job Inteview Questions Ebook . Please contact me if you there is any issue with the download.

Subscribe