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Introduction to Plant Assets

6 May, 2015 - 17:39

Plant assets are assets that are held for more than one year and are uses in business operations. Land, buildings, equipment, furniture, and machinery are examples of plant assets. When a plant asset is initially acquired, all costs incurred for acquisition and installation are debited to the plant asset account. Expenditures that are related to land can be debited to either Land, Land Improvements, or Buildings depending upon how permanent they are and how long they are expected to last.