Interest may be capitalized:
A) On routinely manufactured goods as well as self-constructed assets.
B) On self-constructed assets from the date an entity formally adopts a plan to build a discrete project.
C) Whether or not there is specific borrowing for the construction.
D) Whether or not there are actual interest costs incurred.

Question

Quizplus · Accepted Answer

The Answer of Interest may be capitalized:
A) On routinely manufactured goods as well as self-constructed assets.
B) On self-constructed assets from the date an entity formally adopts a plan to build a discrete project.
C) Whether or not there is specific borrowing for the construction.
D) Whether or not there are actual interest costs incurred.

Interest May Be Capitalized