Which of the following would NOT be included in the cost of an item of property, plant, and equipment?
A) the purchase price net of any trade discounts and rebates
B) delivery costs
C) costs of training employees to use the asset
D) costs of obligations associated with the asset's eventual disposal

Question

Quizplus · Accepted Answer

The costs of training employees to use the asset would not be included in the cost of an item of property, plant, and equipment. These costs would be classified as operating expenses. The cost of an item of property, plant, and equipment would include the purchase price net of any trade discounts and rebates, delivery costs, and costs of obligations associated with the asset's eventual disposal.

Which of the Following Would NOT Be Included in the Cost