If a company employed a consultant to ensure correct practice and procedures to ensure that ISO accreditation was granted should this cost be capitalised? My first thought is revenue as it is quality related, but have never come across this before.
Any help is really appreciated.
Thanks.
Caz
Replies (4)
Please login or register to join the discussion.
Quality manual
I think you've answered your own question Caz. A quality manual would have no value to anyone other than the company it was written for.
Quality Manual
It is really just a Quality Manual stating the requirements and procedures to follow in a laboratory to maintain the ISO accreditation. The consultant wrote the manual and ensured all requirements were adhered to so that ISO accreditation would be granted. They are hoping the accreditation will increase sales but there is no guarantee of this.
Thanks for your help on this.
Caz
Where is the asset?
To capitalise expenditure, you must have an asset of enduring value. What asset do you have?