Ned
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Purchase a vehicle - capitalise freight costs

When purchasing company vehicles, in this case a bus, is it acceptable to capitalise the freight costs, I would have thought it would be as it is a direct cost in aquiring the asset, is this correct?

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24th May 2012 12:30

Not being an accountant

and without taking recourse to GAAP or IAS I would agree as the cost of acquiring a capital asset would in my view be all the costs in purchasing and putting an asset in a fit state to be used - which would include getting it to it's/your base of operations to bring it into use.

 

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By Ned
24th May 2012 13:23

Thanks that what I thought

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