Capital assets
Capital Assets
Get ready to master Capital Assets with our specialized practice exam. The Accounting for General Capital Assets and Capital Projects practice exam will help you understand the essential concepts of capital asset accounting, including their acquisition, maintenance, and disposal in both governmental and business contexts.
Key topics covered in the Capital Assets practice exam:
Definition of Capital Assets – Learn what qualifies as a capital asset, including tangible and intangible assets with a useful life beyond a single reporting period.
Accounting for Capital Assets – Understand how to record, depreciate, and manage capital assets in financial statements.
Capital Project Funding – Explore how capital projects are funded, including debt issuance and grants, and the accounting principles involved.
Depreciation Methods – Study the different methods of depreciation, such as straight-line and declining balance, used to allocate the cost of capital assets over time.
Impairment and Disposal – Learn how to account for asset impairments and the procedures for disposing of capital assets, including recognition of gains or losses.
This practice exam is perfect for accounting students and professionals preparing for exams on governmental and business accounting of capital assets.
